WT/REG468/1  
6 February  2024 
(24-0233) Page: 1/46 
Committee on Regional Trade Agreements   
 
FACTUAL PRESENTATION  
FREE TRADE AGREEMENT BETWEEN ISRAEL AND COLOMBIA  
(GOODS AND SERVICES)  
Report by the Secretariat  
This report, prepared for the consideration of the Free Trade Agreement between Israel 
and Colombia, has been drawn up by the WTO Secretariat on its own responsibility and 
in full consultation with the Parties. The factual presentation reproduces as closely as 
possible the terminology used in the Agreement and in the comments provided and 
does not imply official endorsemen t or acceptance by the Secretariat of such 
terminology. The report has been drawn up in accordance with the rules and procedures 
contained in the Decision for a Transparency Mechanism for Regional Trade Agreements 
(WT/L/671) and thus does not imply any val ue judgement by the Secretariat regarding 
the contents of the Agreement.  
Any technical questions arising from this report may be addressed to Mr. Thakur Parajuli 
(thakur.parajuli@wto.org ). Any statistical questions arising from this report may be 
addressed to Ms. Rowena Cabos  (rowena.cabos@wto.org ).  WT/REG 468/1 
 
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  Table of Contents  
Page 
1  TRADE ENVIRONMENT  ................................ ................................ ................................ . 5 
1.1  Merchandise trade  ................................ ................................ ................................ ........  5 
1.2  Trade in services and investment  ................................ ................................ ...................  7 
2  CHARACTERISTIC ELEMENTS OF THE AGREEMENT  ................................ .......................  8 
2.1  Background information  ................................ ................................ ................................  8 
3  PROVISIONS ON TRADE IN GOODS  ................................ ................................ ............  10 
3.1  Import duties and charges, and quantitative restrictions  ................................ .................  10 
3.1.1   General provisions  ................................ ................................ ................................ ... 10 
3.1.2   Liberalization of trade and tariff lines  ................................ ................................ .........  10 
3.1.3   Liberalization schedule  ................................ ................................ .............................  11 
3.1.3.1   Colombia  ................................ ................................ ................................ .............  11 
3.1.3.2   Israel  ................................ ................................ ................................ ..................  13 
3.1.4   Tariff rate quotas (TRQs)  ................................ ................................ ..........................  15 
3.2  Rules of origin  ................................ ................................ ................................ ............  15 
3.3  Export duties and charges, and quantitative restrictions  ................................ ..................  16 
3.4  Regulatory provisions on trade in goods  ................................ ................................ ........  17 
3.4.1   Standards  ................................ ................................ ................................ ...............  17 
3.4.1.1   Sanitary and phytosanitary measures  ................................ ................................ ...... 17 
3.4.1.2   Technical barriers to trade  ................................ ................................ .....................  17 
3.4.2   Safeguard mechanisms  ................................ ................................ ............................  18 
3.4.2.1   Global safeguards  ................................ ................................ ................................ . 18 
3.4.2.2   Bilateral safeguards ................................ ................................ ...............................  18 
3.4.2.3   Other safeguard measures  ................................ ................................ .....................  19 
3.4.3   Anti-dumping and countervailing measures  ................................ ................................ . 19 
3.4.4   Subsidies and State -aid ................................ ................................ ............................  19 
3.4.5   Customs -related procedures  and trade facilitation  ................................ ........................  19 
3.4.6   Other regulations  ................................ ................................ ................................ ..... 20 
3.5  Sector -specific provisions on trade in goods  ................................ ................................ ... 20 
4  PROVISIONS ON TRADE IN SERVICES AND INVESTMENT  ................................ ..........  20 
4.1  Scope and definitions  ................................ ................................ ................................ .. 20 
4.2  Denial of benefits  ................................ ................................ ................................ ....... 21 
4.3  General provisions on trade in services and investment  ................................ ...................  21 
4.3.1   Market access  ................................ ................................ ................................ .........  21 
4.3.2   National and MFN treatment ................................ ................................ ......................  21 
4.3.3   Commercial presence  ................................ ................................ ...............................  21 
4.3.4   Performance requirements  ................................ ................................ ........................  22 
4.3.5   Senior Management and Boards of Directors  ................................ ...............................  22 
4.3.6   Movement of natural persons  ................................ ................................ ....................  22 WT/REG 468/1 
 
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  4.4  Liberalization commitments  ................................ ................................ .........................  23 
4.4.1   Colombia  ................................ ................................ ................................ ................  23 
4.4.1.1   MFN and Horizontal commitments  ................................ ................................ ...........  23 
4.4.1.2   Sector -specific commitments in trade in services  ................................ ......................  24 
4.4.2   Israel  ................................ ................................ ................................ .....................  27 
4.4.2.1   MFN and Horizontal commitments  ................................ ................................ ...........  27 
4.4.2.2   Sector specific commitments in trade in services ................................ .......................  28 
4.5  Regulatory provisions  ................................ ................................ ................................ .. 31 
4.5.1   Domestic regulation  ................................ ................................ ................................ . 31 
4.5.2   Recognition  ................................ ................................ ................................ .............  31 
4.5.3   Subsidies  ................................ ................................ ................................ ................  32 
4.5.4   Safeguards  ................................ ................................ ................................ .............  32 
4.5.5   Other  ................................ ................................ ................................ .....................  32 
4.5.5.1   Monopolies and exclusive service suppliers  ................................ ...............................  32 
4.5.5.2   Investment  ................................ ................................ ................................ ..........  32 
4.6  Sector specific provisions on trade in services  ................................ ................................  33 
4.6.1   Telecommunications  ................................ ................................ ................................ . 33 
4.6.2   Financial Services  ................................ ................................ ................................ .... 33 
5  GENERAL PROVISIONS OF THE AGREEMENT  ................................ ..............................  34 
5.1  Transparency  ................................ ................................ ................................ .............  34 
5.2  Current payments and capital movements  ................................ ................................ ..... 34 
5.3  Exceptions  ................................ ................................ ................................ .................  34 
5.3.1   General exceptions  ................................ ................................ ................................ .. 34 
5.3.2   Security  exceptions  ................................ ................................ ................................ .. 34 
5.3.3   Taxation  ................................ ................................ ................................ .................  35 
5.3.4   Balance -of-payments safeguards  ................................ ................................ ...............  35 
5.3.5   Other exceptions  ................................ ................................ ................................ ..... 35 
5.4  Accession and withdrawal  ................................ ................................ ............................  35 
5.5  Institutional framework  ................................ ................................ ...............................  35 
5.6  Dispute settlement  ................................ ................................ ................................ ..... 35 
5.7  Relationship with other agreements concluded by the Parties  ................................ ...........  37 
5.8  Government procurement  ................................ ................................ ............................  38 
5.9  Intellectual property rights (IPRs)  ................................ ................................ .................  39 
5.10  Competition  ................................ ................................ ................................ .............  39 
5.11  Environment  ................................ ................................ ................................ ............  39 
5.12  Labour  ................................ ................................ ................................ ....................  39 
5.13  Electronic commerce  ................................ ................................ ................................ . 39 
5.14  Small and medium -sized enterprises (SMEs)  ................................ ................................  40 
5.15  Other  ................................ ................................ ................................ ......................  40 
5.15.1   Cooperation  ................................ ................................ ................................ ..........  40 WT/REG 468/1 
 
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  ANNEX 1  ................................ ................................ ................................ ........................  41 
ANNEX 2  ................................ ................................ ................................ ........................  45 
 
  WT/REG 468/1 
 
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  Key Facts  
 
Parties to the Agreement:  Israel and Colombia  
 
Date of Signature:    30 September 2013  
 
Date of Entry into Force:  11 August 2020  
 
Date of Notification:   14 March 2023  
 
Full implementation:   2038  
 
 
1  TRADE ENVIRONMENT  
1.1.  The Free Trade Agreement (hereafter "the Agreement") between Colombia and Israel is one of 
15 RTAs notified by Colombia and one of 11 RTAs notified by Israel that are currently in force .1 The 
Agreement is the first one notified by Israel that covers trade in both goods and services . In 2022, 
Colombia had a population of 51.9 million and a GDP of USD 343.9 billion, whereas Israel, with a 
population of 9.6 million, recorded a GDP of USD 522.5 billion. The trade -to-GDP ratio was 19.9% 
for Colombia , and 28% for Israel.2 
1.1  Merchandise trade  
1.2.  In 2022, Colombia's total merchandise trade amounted to USD 134.4 billion, with exports 
valued at USD 57 billion and imports at USD 77.4 billion. It was  the 39th largest exporter and the 
33rd largest importer of global merchandise, accounting for 0.23% of global exports and 0.3% of 
imports. In comparison, Israel's total merchandise trade reached USD 180.9 billion, with exports 
totalling  USD 73.6 billion and imports USD 107.3 billion. I t was the 34th largest exporter and 26th 
largest importer of global merch andise  trade, corresponding to 0.3% of global exports and 0.42% 
of imports. Colombia's exports were led by fuels and mining products, followed by agricultural and 
manufacturing, accounting for 49.3%, 23.4%, and 22.2% , respectively, of  its total exports, wh ile 
its import s consisted mainly of manufactured products, at 76% of total imports. Israel 's trade 
primarily consisted of manufactured products, accounting for 88% of total exports and 76.2% of 
imports . Chart 1.1 shows the global trade trends of the Partie s from 2012 to 202 2. With small 
surpluses recorded in 2012 for Colombia and in 2015 for Israel, both Parties maintained a trade 
deficit for the rest of the period.  
Chart 1.1 Colombia -Israel : Global merchandise trade (201 2-22)  
 
Source:  Based on data from UNSD -Comtrade database.  
1.3.  In their bilateral trade, Colombia was Israel's 26th largest destination for exports and 46th 
largest source of imports , accounting for 0.2% of total exports and 0.03% of imports . Israel was 
Colombia 's 13th largest destination for exports and 26th largest source of imports, representing 1.9% 
 
1 Based on rtais.wto.org, as of November 2023.  
2 Unless specified otherwise, the data in the section (trade environment) are sourced from WTO Trade 
Profiles 2023, as of November 2023, using reported  data for  2022. World trade ranks and shares  exclud e intra-
EU trade .  
-50050100150
2012 2014 2016 2018 2020 2022Colombia (USD billion)
Total Imports Total Exports Trade Balance-50050100150
2012 2014 2016 2018 2020 2022Israel (USD billion)WT/REG 468/1 
 
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  of its total exports and 0.2% of imports . Chart 1.2 further illustrates the bilateral trade trends 
between the Parties from 2012 to 2022 . Data extracted from UNSD show that both Parties 
maintained trade surpluses during this period, with Colombia 's surplus  with Israel, increas ing 
substantially  from 2021 to 2022 .3  
Chart 1.2 Colombia -Israel : Bilateral m erchandise trade (201 2-22)  
 
 
Source:  Based on data from UNSD -Comtrade  database .  
1.4.  Chart 1.3 below breaks down the product composition of average imports and exports in 2017 -
2019 (three years before the Agreement came into force) for merchandise trade between the Parties 
and globally, based on Harmonized System (HS) Sections. The data reveals some degree of 
complementarities in trade between the Parties. Colombia's primary expor t categories, minerals, 
and vegetables  made up an average of 68.8% of its total exports, with mineral products alone 
accounting for 55.9%. The same categories constituted 55% of Israel's imports from Colombia 
(13.2% from mineral products and 41.8% from veg etables). In addition,  articles of wood and 
prepared foods also represented significant imports  from Colombia, making up 10.3% and 8.9% of 
imports, respectively.  Israel's main export categories, precious stones, chemicals, and machinery, 
accounted for 67.4 % of its total exports. Except for precious stones, these categories represented 
48% of Colombia's  imports from Israel . Other noteworthy product categories in Colombia's  imports 
from Israel  include optical instruments and motor vehicles, contributing 16.6%  and 13.4% to 
imports, respectively.  
Chart 1. 3 Colombia -Israel : product composition of merchandise trade, by HS Section s, 
annual average (20 17-19) 
 
Note:  HS sections with less than  a 5% share of trade are shown under 'Other' in the Chart.  
Source:  Based o n data from UNSD -Comtrade database.  
 
3 The Parties mentioned that the discrepancies in the data could be attributed to the application of varying 
methodologies  during the compilation of data . 
05001,0001,500
2012 2014 2016 2018 2020 2022Colombia bilateral trade with Israel 
(USD million)
Bilateral Imports Bilateral Exports Trade Balance05001,0001,500
2012 2014 2016 2018 2020 2022Israel bilateral trade with Colombia 
(USD million)
0 10 20 30 40 50 60
Vegetables
Prepared foods
Minerals
Chemicals
Plastics
Articles of wood
Textiles
Precious stones
Base metals
Machinery
Vehicles
Optical
Other
Total Imports Total Exports Imports from Israel0 10 20 30 40 50
Vegetables
Prepared foods
Minerals
Chemicals
Plastics
Articles of wood
Textiles
Precious stones
Base metals
Machinery
Vehicles
Optical
Other
Total Imports Total Exports Imports from Colombia(a) Colombia (b) Israel
(USD 40 billion) (USD 107 million) (USD 74 billion) (USD 61 billion) (USD 23 million)Percentage Percentage
(USD 50 billion)WT/REG 468/1 
 
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  1.2  Trade in services and investment  
1.5.  In 2022, Colombia's total trade in commercial services was valued at USD 29.4 billion (exports 
of USD 12 billion and imports of USD 17.4 billion), ranking as the 35th largest exporter and  36th 
largest importer globally. In comparison, Israel's total trade in commercial services reached USD 
133.7 billion (exports of USD 90.8 billion and imports of USD 42.9 billion), making it the 12th largest 
exporter and 23rd largest importer in the world. Colo mbia's exports are primarily travel and other 
commercial services, accounting for 49.2% and 32.5% of total exports, respectively, while its 
imports are led by other commercial services, followed by transport and travel, making up 37.9%, 
36.8%, and 24.7% of  total imports, respectively. Israel 's trade is dominated by other commercial 
services, representing 72.4% of total exports and 52.2% of imports.  Chart 1.4 shows the Parties' 
global trade in commercial services from 2012 to 2022. Colombia consistently main tained a small 
deficit, while Israel was a net exporter of commercial services globally, with a widening surplus since 
2017.  Time series data on bilateral trade for the period 2012 -2022 are not available.  
Chart 1.4 Colombia -Israel : Trade  in commercial services with world (201 2-22) 
 
Source:  WTO Statistics database.  
1.6.  Chart 1.5 further illustrates the composition of the Parties' global and bilateral services trade 
by sector, averaged over 2017-2019. Colombia's total average trade  (exports + imports)  is 
dominated by other business services, followed by telecommunications and IT, and travel services. 
Israel 's trade  is dominated by travel, followed by transport and other business services.  In their 
bilateral trade, Colombia mainly im ported other business and transport services from Israel, while 
the primary Israeli  import  sectors  were other business, followed by maintenance and repair, and 
finance services.  
Chart 1.5 Colombia -Israel : Sectoral composition of commercia l services trade ( Average 
2017 -19)  
 
Note:  There is no import/export data for manufacturing services in Colombia's global trade and no 
import/export data on manufacturing, maintenance and repair, travel, construction, insurance, and 
-20020406080100
2012 2014 2016 2018 2020 2022Colombia (USD billion)
Total Imports Total Exports Trade Balance-203080130
2012 2014 2016 2018 2020 2022Israel (USD billion)
0 10 20 30 40
Manufacturing
Personal
Insurance
Construction
Maintenance & Repair
Intellectual Property
Finance
Transport
Travel
Telecommunications & IT
Other Business Services
Total Imports Total Exports Imports from Israel0 10 20 30 40 50 60
 Manufacturing
 Personal
 Construction
 Maintenance & Repair
 Insurance
 Finance
 Intellectual Property
 Telecommunications & IT
 Other Business Services
 Transport
 Travel
Total Imports Total Exports Imports from Colombia(a) Colombia (b) Israel
(USD 28.6 billion) (USD 48.2 billion) (USD 14.5 billion) (USD 28.6 billion)Percentage Percentage
(USD 6.7 million) (USD 3.5 million)WT/REG 468/1 
 
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  finance services in bilateral trade. Th ere is also no  bilateral export data for intellectual property and 
personal, cultural, and recreational services.  
 For Israel, there is no export/import data for manufacturing, transport, travel, construction, insurance, 
and personal, cultural, and recreational services, no  export  data for maintenance and repair services, 
and no import data for telecommunication s and IT services in 2019.  
Source:  Based on data from the Parties and the WTO Statistics Database.  
 
1.7.  Chart 1.6 below presents the Parties' foreign direct investment (FDI) stocks and flows during 
2012-2022. Both Parties are net FDI recipients with Israel experienc ing a sharp growth in inward 
FDI since 2016.  
Chart 1.6 Colombia -Israel : FDI stock and flow with world  (2012-22) 
 
Source:  Based on data from the  UNCTADStat . 
 
2  CHARACTERISTIC ELEMENTS OF THE AGREEMENT  
2.1  Background information  
2.1.  The Agreement  was signed by  the Parties  on 30 September  2013 and entered into force on 
11 August 2020. It was  notified to the WTO on 14 March 2023 under GATT Article XXIV:7(a) and 
Article V:7(a) of the GATS (WT/REG468/N/1 and S/C/N/1133).  
2.2.  The Agreement shall remain in effect indefinitely unless one Party notifies the other that it 
intends to terminate the Agreement .4 It can also be amended (Article 15.2), and the amendments 
shall enter into force 60 days after the exchange of diplomatic notes on the completion of their 
internal legal procedures for the entry into force of the Agreement (Article 15.3) . 
2.3.  The text of the Agreement is available, together with its related Annexes  (which are also an 
integral part of the Agreement) , on the following of ficial websites:  
Colombia : https://www.tlc.gov.co/acuerdos/vigente/israel   
 
Israel : https://www.gov.il/BlobFolder/policy/israel -colombia -fta/he/sahar -
hutz_agreements_colombia -en-agreement2020.pdf   
 
 
 
4 See Section  5.4 (Accession and Withdraw).   
050100150200250
2012 2014 2016 2018 2020 2022
Inward Stock Outward StockA.  Colombia Global FDI StockUSD Billion
-505101520
2012 2014 2016 2018 2020 2022B.  Colombia Global FDI Flow
050100150200250
2012 2014 2016 2018 2020 2022ThousandsC.  Israel Global FDI Stock
051015202530
2012 2014 2016 2018 2020 2022ThousandsD.  Israel Global FDI FlowUSD BillionWT/REG 468/1 
 
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  2.4.  The Agreement contains 15 Chapters and 22 Annexes . Box 2.1 provides its structure.  
Box 2.1 Structure of the Agreement  
Chapters and Annexes:   
Preamble  
Chapters :  
1 Initial Provisions and General Definitions  
2 Market Access for Goods  
3 Rules of Origin  
4 Customs Procedures  
5 Technical Assistance and Trade Capacity Building  
6 Sanitary and Phytosanitary (SPS) Measures  
7 Technical Barriers to Trade  (TBT)  
8 Trade Remedies  
9 Government Procurement  
10 Investments  
11 Trade in Services  
12 Dispute Settlement  
13 Institutional Provisions  
14 Exceptions  
15 Final Provisions  
Annexes:  
A On Mutual Administrative Assistance in Customs Matters  
B Electronic Commerce  
2-A Gradual  Tariff Elimination Schedules for Industrial Goods  
Section 1 -A: Colombia  
Section 1 -B: Israel  
2-B Preferential Treatment for Agricultural Goods  
Section 1 -A and B: Colombia  
Section 2 - A and B: Israel  
2-C National Treatment, Customs Duties on Exports and Imports, and Export Restrictions  
3-A Product Specific Rules of Origin  
3-B Certification of Origin  
3-C Invoice Declaration Pursuant to Article 3.19  
3-D Procedures for the Issuance of Electronic Certificates of Origin (Article 3.16)  
3-E Procedures for the Issuance of Paper Certificates of Origin (Article 3.16)  
3-F Exemption from the Principle of Territoriality  
7-A Sub-Committee, Contact Point and TBT Enquiry Point on TBT  
9-A List of Commitments (Pursuant to Chapter 9)  
Part 1: Colombia  
Part 2: Israel   
9-B Electronic or Paper Media Utilized by the Parties for the Publication of Notices (Pursuant to Chapter 
9) 
10-A Presentation of Documents to a Party  (Pursuant to Chapter 10)  
11-A List of MFN Exemptions  
Section 1: Colombia  
Section 2: Israel  
11-B Movement of Natural Persons Supplying Services  
11-C Financial Services  
11-D Telecommunication Services  
11-E Schedule of Specific Commitments  
Section 1: Colombia  
Section 2: Israel  
12-A Rules of Procedures for Arbitral Tribunal Proceedings  
12-B Code of Conduct  
Source:  WTO Secretariat b ased on the Agreement . WT/REG 468/1 
 
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  3  PROVISIONS ON TRADE IN GOODS  
3.1  Import duties and charges, and quantitative restrictions  
3.1.1   General provisions  
3.1.  Chapter 2 of the Agreement governs  market access for trade in goods between the Parties. The 
Parties will eliminate  or reduce customs duties on each other's originating goods as per  Section B of 
the Chapter for industrial product s and Section C for agriculture products.  
3.2.  The Parties grant national treatment to each other's  goods in accordance with Article III of the 
GATT, including its Interpretative Notes, which are incorporated into and made an integral part of 
the Agreement (Article 2.3).  As an exception , Colombia  will maintain measures relating to the 
taxation of alcoholic beverages pursuant to the Impuesto al Consumo  provided for in Law No. 788 
of 27 December 200 2 and Law No. 223 of 22 December 1995 for no longer than 1 year after the 
entry into force of the Agreement  (Annex 2 -C). 
3.3.  With regard to fees and other charges, each Party must adhere to GATT Article VIII and its 
Interpretative Notes, ensuring that fees and  charges related to imports or exports are cost -based, 
without providing indirect protection to domestic goods or serving as fiscal taxation on imports or 
exports. Additionally, the Parties should strive to provide up -to-date information on these fees and 
charges, ideally via the Internet.  
3.4.  Unless otherwise provided in the Agreement, the Parties agree not to adopt or maintain any 
prohibition or restriction on bilateral imports  (and exports)  while reaffirming their rights and 
obligations under Article XI of GATT 1994, including its Interpretive Notes, which are incorporated 
into the Agreement, mutatis mutandis  (Article 2.12). This provision does not apply to goods imported 
by Colombia  as specified in Chapter II of Decree 925, dated 2013  (Annex 2 -C).  
3.5.  To determin e the customs value of goods traded between the Parties, the provisions of Article 
VII of the GATT and its Interpretative Notes, as well as the WTO Agreement on Customs Valuation, 
are incorporated into the Agreement, mutatis mutandis .  
3.6.  No Party sh all adopt or maintain a measure that is inconsistent with the WTO Agreement on 
Import Licensing Procedures which is incorporated into and made an integral part of this Agreement, 
mutatis mutandis  (Article 2.9).  
3.7.  A Sub -Committee on Market Access is establish ed under Article 2.13.  
3.1.2   Liberalization of trade and tariff lines  
3.8.  Unless otherwise provided for in the Agreement, each Party shall eliminate customs duties on 
originating goods of the other Party according to the terms and conditions set forth in its tariff 
liberalization schedules.  The liberalization process is subject to a transition period, with full 
implementation (elimination and reduction of tariffs)  to end in 2038 for Colombia and 2031 for Israel.  
3.9.  Tariff liberalization schedules for industrial goods c an be found in Annex 2 -A (Section 1 -A for 
Colombia and 1 -B for Israel), and for agricultural products in Annex 2 -B (Section s 1-A and 1 -B for 
Colombia and Section 2 -A and 2 -B for Israel).  
3.10.   The Agreement defines industrial products as those  under HS Chapters 25 -97 with the 
exception of some subheadings5, and the rest as agriculture . The base rate for customs duties, 
subject to reductions, is the  MFN rate as of January 1, 2012. The Parties are prohibited from 
increasing base rates, adopting new customs duties, or equivalent charges unless specified 
(Article  2.14). Upon the request of either Party, consultations shall be initiated to accelerate duty 
elimination for industrial products as outlined in their Schedules under Annex 2 -A.  
 
5 3501.90, 3502.11, 3502.19, 3502.20, 3502.90, 3505.10, 3505.20, 3823.11, 3823.12, 3823.13, 
3823.19 and 3824.60  (these subheadings are considered as agricultur al products)  WT/REG 468/1 
 
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  3.11.   Colombia m ay apply the Andean Price Band (APB) System established in Decision 371 of the 
Andean Community and its modifications, or subsequent systems for agricultural goods covered by 
such decisions (Article 2.18).  
3.1.3   Liberalization schedule  
3.12.   In the following sections,  unless explicitly stated, the analysis of tariffs and trade liberalization 
is based on the data provided by the Parties. Import data for Colombia were sourced from the WTO -
IDB database, and export data from the UNSD Comtrade database  for both Parties . The  tariff 
nomenclature used was HS 2017. The computation excludes tariff lines subject to in -quota rates. 
When calculating the average tariff, specific rates of duty are excluded, and only the ad valorem  
part of alternate rates is included.  
3.1.3.1   Colombia  
3.13.   Table 3 .1 below presents Colombia's tariff  elimination commitments under  the Agreement. In 
2020, 53.6% of Colombia's tariff (4,175 lines) was duty -free on an MFN basis, corresponding to an 
average of 67.7% of its imports from Israel during 2017 -19. Upon the entry  into force of the 
Agreement in 2020, an additional 836 tariff lines became duty -free, corresponding to 12.7% of 
imports from Israel. After ten years of liberalization in 2029, Colombia would have liberalized an 
additional 1,634 lines corresponding to 19. 5% of its imports. By the end of the duty elimination 
period in 2031, 85.4% of Colombia's tariff (6,647 lines) will be duty -free, corresponding to 99.8% 
of its imports from Israel. The remaining 14.6% (1,135 lines) of the tariff will still be dutiable, 
corresponding to 0.1% of its imports from Israel. Of these, tariffs on 25 lines will be reduced for 
imports from Israel  with implementation period ending in 2038 for some lines . 
3.14.   In 2020, Colombia applied the APB to 157 tariff lines on an MFN basis, of which 25  tariff lines 
are covered under the Agreement. Among these 25 lines, one line is fully liberalized, and the 
ad valorem  part of the duty for an additional line was eliminated upon the entry into force of the 
Agreement. Two tariff lines are subject to TRQs u nder the Agreement, and the ad valorem  part of 
the duty will be eliminated  for the remaining lines  (1 line in 2024, 1 line in 2029, 9 lines in 2031, 
and 8 lines in 2038), while the variable component will still be maintained.  
Table 3.1 Colombia: Tariff elimination commitments under the Agreement and 
corresponding average trade  
Duty phase -out 
period  Tariff lines in 
Colombia's tariff 
schedule  Colombia's imports from Israel  
(2017 -2019)  
Number  % Value (USD million)  % 
MFN 2020  4,175a 53.6 72.1 67.7 
2020 836 10.7 13.5 12.7 
2021 1 0.0 0.0 0.0 
2022 20 0.3 0.0 0.0 
2024 702 9.0 4.4 4.2 
2026 741 9.6 15.1 14.2 
2029 170 2.2 1.2 1.1 
2031 2 0.0 0.0 0.0 
Remain dutiable  1,135b 14.6 0.2 0.1 
Total 7,782  100.0  106.5  100.0  
a 21 tariff lines  from excluded categories were duty free on an MFN basis  in 2020 .  
b 25 tariff lines are covered by the Agreement and their duties are reduced for the imports from Israel.  
Source:  WTO's estimate based on data provided by the Colombian authorities.  
3.15.   Table 3.2 further elaborates on Colombia 's tariff elimination and reduction commitments by 
HS Sections  with corresponding share s of imports from Israel during 2019-21. As a result  of the 
Agreement , products from all HS Sections except Sections I-IV (animal products, vegetables, animal 
or vegetable fats, and prepared food s), and VI (chemicals)  will be fully liberalized . The percentage WT/REG 468/1 
 
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  of lines for which duty is eliminated within the Sections, where duties remain , ranges from 3% (I) 
to 99.4% (VI). The average tariff for these Section s ranges  from 10% in HS Section VI (chemical 
products ) to 21.1% in Section I (animal products ). A large portion of Colombia 's imports from Israel 
during 2017-19 was under HS Sections XVI (machinery ), VI (chemicals ), and XVIII (optical)  
accounting for 30.9%, 17.1%  and 16.6%, respectively , of its total imports from Israel6, which are 
fully liberalized under the Agreement . 
Table 3.2 Colombia: Tariff elimination under the Agreement, by HS Section with 
corresponding share of imports from Israel  
HS 
Section  MFN 2020  Lines  under the Agreement  
Avg. Dutiable 
Tariff  % of Import s 
Avg. 
Tariff 
(%) No. 
of 
lines  Duty 
free 
lines  Duty Free  
Remain 
Dutiablex Duty free  
Remain 
dutiable  2020  
2021 -22 
2024  
2026  
2029 -31 
MFN 
Under the 
Agreement*  
I 20.5 507 13 2     49 21.1   0.0 
II 13.0 441 7 89 1 4  4 336 13.2  2.4 0.1 
III 15.5 66  1    1 64 15.3   0.0 
IV 14.1 314  61  14 1 7 231 14.0  0.0 0.0 
V 0.6 198 174 24       1.4 0.0  
VI 1.6 1,495  1,209  154 3 70 36 11 12 10.0 11.3 5.8 0.0 
VII 4.4 318 178 22 1 43 70 4   2.3 2.6  
VIII 7.8 85 25 22 5 11 21 1    0.0  
IX 2.6 145 113 7  8 8 9   0.0 0.0  
X 4.9 196 113 8  40 32 3   0.2 0.0  
XI 8.3 951 313 70 8 214 327 19   1.1 5.5  
XII 12.8 55 6 10  18 21     0.0  
XIII 2.9 169 121 10  20 18    0.6 0.0  
XIV 3.2 59 45 3  6 4 1   0.2 0.0  
XV 2.5 721 524 81  57 54 5   0.7 0.5  
XVI 1.8 1,259  996 149 3 57 45 9   26.7 4.2  
XVII 9.3 271 112 21  44 42 52   13.3 0.0  
XVIII 2.2 282 198 66  9 8 1   9.8 6.8  
XIX 14.9 69  23  34 12     3.7  
XX 11.8 174 28 13  48 40 45   0.0 0.4  
XXI 15.0 7    5 2     0.0  
Total  6.0 7,782  4,175  836 21 702 741 172 1,135  16.9 67.7 32.1 0.1 
x duties are reduced under the Agreement for some of the products under the Sections.  
* Duty-free under the Agreement at the end of the implementation period.   
Note:  '0.0' of import  indicates a negligible value that has been rounded to zero . 
Source:  WTO estimated based on data provided by Colombian authorities and from WTO-IDB database.  
3.16.   Chart 3.1 below presents average tariffs (MFN tariffs in 2020 and preferential tariffs at the 
end of implementation) by HS Chapter for 1,135 tariff lines, which remain dutiable for imports from 
Israel. All  the remaining dutiable lines are agricultural prod ucts as defined under the Agreement. 
Average preferential rates are lower than their corresponding MFN rates  in 2020  for Chapters 6, 12, 
15, 17, 19, 21, 35, and 38, while the tariff lines from the other Chapters are excluded from the 
Agreement, thus MFN ra tes apply. The rates are relatively higher in Chapters 4 (dairy) and 2 (meat) 
at 43.1% and 34.5%, respectively.  
 
6 Chemicals and machinery products are also Israel's major exports  (See 1.4. 1.4. ).  WT/REG 468/1 
 
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  Chart 3.1 Colombia : Average of dutiable rates, by HS Chapter  
 
Note:  The MFN rates in 20 20 are assigned as preferential duty rates for the products excluded from tariff 
liberalization under the Agreement.  
Source:  WTO's estimate based on data provided by the Colombian authorities . 
 
3.1.3.2   Israel  
3.17.   Table 3.3 below summarizes Israel's tariff eliminat ion under the Agreement. In 202 0, 66.9% 
of Israel 's tariff ( 5,721  lines) w as duty-free on an MFN basis, which correspond ed to 88.5% of its 
average imports from Colombia during 20 17-19.7 Upon entry into force of the Agreement, an 
additional 1,953  tariff lines became duty -free, corresponding to 7.8% of its imports from Colombia . 
Israel will further liberalize 89 lines (0.1%  of imports ) in 2022 and 15 lines in 2024 (2.4% of 
imports) . The rem aining 9.1% (775 lines) of the tariff will still be dutiable, corresponding to 1.2% 
of its imports from Colombia. Of these, tariffs on 160 lines will be reduced for imports from Colombia, 
under which  no imports entered in 2017 -19. 
Table 3.3 Israel : Tariff elimination commitments under the Agreement and corresponding 
average trade  
Duty phase -out 
period  Tariff lines in Israel's 
tariff schedule  Israel's imports from Colombia  
(2017 -2019)  
Number  % Value (USD million)  % 
MFN 2020  5,721  66.9 21.8 88.5 
2020 1,953  22.8 1.9 7.8 
2022 89 1.0 0.0 0.1 
2024 15 0.2 0.6 2.4 
Remain dutiable  775a 9.1 0.3 1.2 
TOTAL  8,553  100.0  24.7 100.0  
a  Duties on 160 tariff lines covered by the Agreement are reduced for imports from Colombia.  
Source:  WTO estimate s based on data provided by the Israeli authorities.  
 
3.18.   Table 3.4 further elaborates on Israel's tariff elimination commitments by HS Sections. As a 
result of the Agreement, products from all HS Sections, except Sections I -IV (animal products, 
vegetables, animal or vegetable fats, and prepared foods), and VI (c hemicals), will be fully 
liberalized. The percentage of lines for which duty is eliminated within the Sections, where duties 
remain, ranges from 55.3% (III) to 99.3% (VI). The average tariff (o n dutiable lines) for these 
Sections ranges from 10.3% in HS Se ction III to 74.6% in Section II. A large portion of Israel's 
imports from Colombia during 2017 -19 falls under Sections II (vegetables), V (minerals), and IX 
(wood), accounting for 46.6%, 12.1%, and 9.5% of total imports from Colombia.8 Tariffs and import s 
 
7 In 2020, Israel's MFN tariff consisted of 8,553 lines at the eight -digit level (HS 2017). 96.3% of the tariff 
rates were ad valorem , and 316 lines had non-ad valorem  tariffs. Of which , 75 lines were subject to specific 
rates, 5 lines to compound rates, and 231 lines to mixed duties .  
8 Minerals and vegetables products are also among Colombia 's top global export items (See Chart 1.4. ). 
01020304050
0102030405060708091011121314151617181920212223243538Average Duty Rate (%)
HS ChapterPreferential MFNWT/REG 468/1 
 
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  are fully liberalized for minerals  and wood, while for vegetables  290 lines (under which  0.6% of 
Israel's imports from Colombia entered in 2017 -19) still face duties.  
Table 3.4 Israel : Tariff elimination under the Agreement, by HS Secti on with 
corresponding share of imports from Colombia  
HS 
Section  MFN 2020  Lines  under the Agreement  
Avg. Dutiable Tariff  % of Import s 
Avg. 
Tariff 
(%) Number 
of lines  Duty 
free 
lines  Duty Free  
Remain Dutiable  Duty free  
Remain dutiable  2020  
2022  
2024  
MFN 
Under the 
Agreement*  
I 23.2 552 293 8   251x 56.5 0.0  0.4 
II 47.8 462 164 8   290x 74.6 45.2 0.8 0.6 
III 4.8 94 50    44x 10.3 0.3   
IV 7.3 388 193 11 1  183x 14.6 6.5 1.9 0.3 
V 0.3 171 164 7     12.1   
VI 1.2 988 865 114  2 7 20.0 2.5 0.3  
VII 3.9 330 191 138  1   3.2 1.4  
VIII 1.1 78 70 8     2.1 0.0  
IX 0.2 121 119 2     9.5   
X 3.4 176 118 56  2   0.0 2.5  
XI 0.6 1,215  1,152  50 12 1   2.2 0.1  
XII 0.9 50 46 4     0.1   
XIII 5.1 246 115 116 12 3   0.2 1.0  
XIV 4.2 79 45 34     1.7 0.0  
XV 3.3 1,062  660 401  1   0.1 1.5  
XVI 3.9 1,559  940 553 64 2   0.9 0.5  
XVII 3.9 384 179 203  2   0.1 0.0  
XVIII 2.7 337 221 115  1   0.2 0.2  
XIX 0.5 23 22 1        
XX 5.8 218 103 115     1.7 0.0  
XXI 4.8 20 11 9        
Total  6.5 8,553  5,721  1,953  89 15 775 49.9 88.5 10.2 1.2 
x Duties are reduced under the Agreement for some of the products under the Sections.  
* Duty -free under the Agreement at the end of the implementation period.  
Source:  WTO's estimate based on data provided by the Israeli authorities . 
3.19.   Chart 3.2 below presents average tariffs (MFN tariffs in 2020 and preferential tariffs at the 
end of implementation) by HS Chapter for 775 tariff lines that remain dutiable for imports from 
Colombia. All remaining dutiable lines are agricultural products a s defined under the Agreement. 
Average preferential rates are lower than their corresponding MFN rates in Chapters 2, 4, 7, 8, 16, 
19, and 20, while tariff lines excluded  from the Agreement  face MFN rates. The rates are highest in 
Chapter 14 (vegetables) a t an average of 170%  and tariffs for Chapters 7 and 4 also face applied 
duties close to 100%.  WT/REG 468/1 
 
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  Chart 3.2 Israel : Average of dutiable rates, by HS Chapter  
 
Note:  The MFN rates in 2020 are assigned as preferential duty rates for the produ cts excluded from tariff 
liberalization under the Agreement.  
Source:  WTO's estimate based on data provided by the Israeli authorities.  
 
3.1.4   Tariff rate quotas  (TRQs)  
3.20.   Both Parties maintain TRQs for certain agricultural products under the Agreement. Colombia 
applies TRQs on 12 categories of products (25 lines at the national tariff line level)  including some 
cut flowers, spices; glucose; and food preparations. Similarly, Israel applies TRQs  on 15 categories 
of products (22 lines at the national tariff line level), including some meats , dairy products , fresh 
flowers , and some vegetables and fruit . The in -quota rates are zero  while the out -of-quota rates are 
the current applied MFN rates. Quota volumes do not change over time. Further details of the TRQs 
maintained by the Parties under the Agreement, including quota volumes, in and out -of-quota rates, 
and corresponding MFN rates  are in Annex 2.  
3.2  Rules of origin  
3.21.   Rules of origin criteria are outli ned in Chapter 3 of the Agreement. A product shall be 
considered as originating in a Party and eligible for preferential treatment if it is wholly obtained or 
produced in the territory of the Part ies, as defined in Article 3.4 (wholly obtained or produced 
product), or if it has undergone sufficient processing or production according to the rules specified 
in Article 3.5, including the product -specific rules (PSR) in Annex 3 -A of the Agreement  (Article 3.2)   
3.22.   Article 3.5 specifies that a non-originating produ ct is originating if (a) the production process 
results in a change in tariff classification (CT C) at the Harmonized System (HS) heading (4 digits) 
level; or (b) the value of all non -originating materials used in the product does not exceed 50% of 
its ex -works price; or (c) if the product falls within the list in Annex 3 -A9 and satisfies the related 
PSRs. The rules under (a) and (b) above do not apply to the products listed in Annex 3 -A. For 
products listed in Annex 3 -A, while the requirement of CTC at HS Heading or Chapter constitutes 
the main criterion for a product to qualify as originating, the value -added criterion (from 25% to 
60% of the ex -works price) is often used as an alternative for a number of products. For some 
products, a specific manufacturi ng or processing operation can confer origin, either as a unique 
criterion or combined with an alternative criterion .10 A product will also be deemed to have 
undergone a CTC if the value of all non -originating materials in the good and that do not meet the  
required CTC does  not exceed  10% of the ex -works price of the product in question when 
determining compliance with the CTC , as specified in points (a) and (c) above.  
3.23.   Article 3.6 lists minor processing operations that do not confer origin. However, all operations 
carried out in either Colombia or Israel on a specific product should be collectively assessed to 
determine whether the processing is considered insufficient.  
 
9 The Joint Committee may modify Annex 3 -A by mutual agreement.  
10 This is the case particularly for textiles products.  
050100150200
010203040506070809101112131415161719202122232435Average Duty Rate (%)
HS ChapterPreferential MFNWT/REG 468/1 
 
- 16 - 
 
  3.24.   Article 3.2 permits bilateral cumulation between the Parties. Furthermore, cumulation with a  
third party is also allowed when both Parties have equivalent provisions with a third party under 
separate FTAs. If one Party's agreement with the third party is restricted to specific goods or 
conditions, the other Party may similarly limit the application of cumulation to those goods and under 
such conditions, in accordance with the provisions of the Agreement.  
3.25.   While p referential treatment may only be granted to products directly transported between 
the Parties transit  through third parties is permitted for  geographical or transportation necessities, 
with minimal operations for preservation, and no engagement in trade , consumption , use or 
emplo yment  in the third party's territory (Article 3.13). Goods exported from the Parties' territories 
to a third party and then re -imported are deemed non -originating unless they are identical to the 
initially exported goods and have not undergone additional o perations, except for preservation. 
However, outward processing is recognized  for goods  in Annex 3 -F of the Agreement11, which are 
considered originating even if they have undergone operations outside the Parties' territories. The 
Parties also plan to crea te a mechanism to maintain the originating status of goods transhipped 
through a third party's territory with which each Party has a separate FTA, within one year of the 
Agreement's entry into force.  The Parties confirm that there has been no progress so f ar in this 
regard.  
3.26.   Articles 3.1 5 through 3.26 contain general requirements for proof of origin; procedures for 
issuing a n origin certificate and  verification.  The importing Party may conduct verifications of origin 
certificate in line with the procedures in Article 3.28. Failure to provide verification results within 10 
months may permit the importing Party to deny preferential treatment to the products in question. 
While awaiting the verification results, the importing Party shall release the p roducts, subject to any 
necessary precautionary measures. If disputes arise regarding the verification procedures that 
cannot be resolved between the customs authorities, the matter will be referred to the Sub -
Committee on Customs, Trade Facilitation, and Rules of Origin established by the Joint Committee 
according to Chapter 13 of the Agreement. If a solution still cannot be reached, the provisions of 
Chapter 12 (dispute settlement) will apply. However, disputes between an importer and the customs 
authorit y of the importing Party will be resolved according to the law of the importing Party (Article 
3.29).  
3.3  Export duties and charges, and quantitative restrictions  
3.27.   Customs duties on exports and equivalent charges shall be abolished upon the Agreement's 
entry in to force, and no new such duties or charges shall be introduced in bilateral exports  between 
the Parties, except as specified in the Agreement (Article 2.11). For prohibitions or restrictions on 
exports  (and imports) , Article XI of GATT 1994, including its  Interpretive Notes, is incorporated into 
the Agreement, mutatis mutandis  (Article 2.12). However, the se provisions do  not apply to a 
contribution required on coffee exports (Law No. 101, 1993), controls on coffee exports (Law No. 9, 
1991),  goods as provid ed in Chapter II of Decree 925 of 2013 , and a contribution imposed on 
emerald exports (Law No. 488, 1998)  by Colombia . For Israel, controls and charges maintained on 
the export of metal waste and scrap  are exempt from the requirement to eliminate export du ties 
and restrictions .  
 
11   The conditions include: the materials shall be wholly obtained in the Parties or undergo working or 
processing beyond the minor precession operation s in Article 3.6; customs authorities must confirm that the 
re-imported goods result from processing witho ut a change in HS subheading level; and the total added value 
from operations outside the Parties must not exceed 15% of the end product's ex -works price. The products 
include 120 HS subheadings from five HS Chapters ( concerning base metals, machinery and mechanical 
appliances,  and optical, photographic and cinematographic instruments).   WT/REG 468/1 
 
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  3.4  Regulatory provisions on trade in goods  
3.4.1   Standards  
3.4.1.1   Sanitary and phytosanitary measures  
3.28.   Chapter 6 governs provisions on sanitary and phytosanitary (SPS) measures. The Parties 
affirm their rights and obligations under the WTO SPS Agreement, and some of the provisions of 
Chapter 6 mirror those in the SPS Agreement  (Article 6.2) . 
3.29.   Article 6.1 outline s the primary objectives of the Chapter, which are to protect  human, animal 
and plant  life and health, prevent unjustified trade barriers, and improve the implementation of the 
WTO SPS Agreement. They agree to exchange information on changes in their SPS status, results 
of import checks, and verification procedures within specified timefra mes (Article 6. 3). 
3.30.   On risk assessment (Article 6.4), if required, the importing Party must inform the exporting 
Party about the estimated timeframe for the assessment  and provide technical justification for any 
delays . The exporting Party is obliged to pro vide information upon request to support the risk 
assessment process.  
3.31.   The Parties will develop procedures, as needed, for recognizing pest or disease -free areas, 
areas of low pest or disease prevalence, and pest or disease -free production sites  and/or 
compartments , taking into account international guidelines (Article 6.5). Procedures for informing 
and approving establishments for import are detailed in Article 6.7, with the importing Party notifying 
the exporting Party of eligibility to export once requir ements are met. Article 6.7 also lists  the 
competent authorities12, while Article 6.9 establishes contact points13 for coordinating SPS matters 
between the Parties.  
3.32.   A Sub-Committee on SPS is established under Article 6.8 which is responsible for facilitat ing 
the implementation and cooperation of the Parties SPS matters. It will also work to adapt the Chapter 
in response to developments under the WTO SPS Committee.  
3.4.1.2   Technical barriers to trade  
3.33.   Chapter 7 of the Agreement governs provisions on technical barrie rs to trade (TBT). The 
Parties affirm their rights and obligations under the WTO TBT Agreement, which is incorporate d into 
the Agreement and made part of it , mutatis mutandis  (Article 7.2). The Chapter largely reassembles 
the provisions of the WTO TBT Agreemen t. It applies to the preparation, adoption, and application 
of technical regulations, standards, and conformity assessment procedures that may affect trade in 
goods betwee n the Parties. It does not apply to technical specifications prepared by governmental 
bodies for production or consumption requirements (covered by Chapter 9 - Government 
Procurement) and SPS measures  (covered by Chapter 6).  
3.34.   The Parties agree to strengthe n cooperation in standards, technical regulations, conformity 
assessment, and metrology. They aim to identify, develop, and promote bilateral initiatives to 
facilitate trade, including cooperation on regulatory issues, technical assistance, and mechanisms to 
facilitate the acceptance of results of conformity assessment procedures. The Sub-Committee on 
TBT may define priority sectors for cooperation  as per Article 7.5.   
3.35.   The Parties agree to apply the decisions of the WTO TBT Committee, particularly on the 
principles for the development of international standards, guides, and recommendations in relation 
to Articles 2, 5, and Annex 3 of the TBT Agreement. They also agree to encourage cooperation 
 
12 The authorities include, for Colombia, the Agriculture and Livestock Institute (ICA) under the Ministry 
of Agriculture and Rural Development, as well as the National Ins titute for the Surveillance of Foods and Drugs 
(INVIMA) under the Ministry of Health and Social Protection. In Israel, the authorities include the Plant Protection 
and Inspection Services (PPIS) and Veterinary Services and Animal Health (IVSAH) under the M inistry of 
Agriculture and Rural Development, as well as the National Food Services and the Cosmetic Department and 
Pharmaceutical Administration under the Ministry of Health.  
13 The focal point for Colombia is the Ministry of Trade, Industry, and Tourism i n Colombia, while for 
Israel, it is the Ministry of Economy in Israel, along with its successors .  WT/REG 468/1 
 
- 18 - 
 
  between their standardization bodies, exchange information on the standardization process, and the 
use of international standards as the basis for national standards (Article 7.6). They agree to use 
international standards for their technical regulations when appropriate  and share relevant 
information if the other Party is interested in a similar regulation. They shall also consider negotiating 
to accept each other's technical regulations as equivalent upon request (Article 7. 7).  
3.36.   On conformity assessment and accreditation under Article 7. 8, the Parties acknowledge 
various mechanisms to facilitate the acceptance of conformity assessment results and encourage 
their exchange. They may agree to accept  a supplier's declaration of conformity, recogniz e results 
from each other's conformity assessm ent procedures, allow voluntary recognition agreements 
between conformity assessment bodies in their respective territories, and designat e conformity 
assessment bodies located in each other's territories. Neither harmonization nor mutual recognition 
is mad e mandatory under the Agreement. However, they  may consider negotiating mutual 
recognition agreements  (MRAs)  or unilaterally recognizing the other Party's conformity assessment 
results ; prior to agreeing an MRA they may also consult  and share information about the technical 
competence of the conformity assessment bodies involved to enhance confidence in the reliability of 
these results.  
3.37.   Article 7.9 on transparency  requires  that the Parties notify and provide information, along 
with t he rationale for technical regulations or conformity assessment procedures. It also requires a 
60-day comment period for proposed regulations and that all adopted technical regulations and 
conformity assessment procedures be made publicly available. The Pa rties agree to exchange 
information through designated contact points as specified in Annex 7 -A of the Agreement14 
(Article  7.10).  
3.38.   A Sub -Committee on TBT is established under Article 7.11 which is responsible for facilitating 
implementation of the Chapter  7, addressing issues, and conducting negotiations for MRAs . In the 
case of disputes, consultations are required before proceeding to dispute settlement under 
Chapter  12. 
3.39.   Finally, Article 7.12 addresses border control and market surveillance, requiring information 
exchange and  ensure  that such activities are undertaken by the competent authorities while avoiding 
conflicts of interest  between the authorities and the economic operators subject to control or 
supervision . 
3.4.2   Safeguard mechanisms  
3.40.   Chapter 8 (trade r emedies) contains provisions on global and bilateral safeguard measures 
including anti -dumping and countervailing measures.  
3.4.2.1   Global safeguards  
3.41.   The Parties retain their rights and obligations under Article XIX of the GATT and the WTO 
Safeguards Agreement. T he Agreement does not grant any additional rights or obligations regarding 
actions taken under GATT Article XIX, except that a Party taking a global safeguard measure shall 
exclude imports of an originating good from the other Party if those imports are no t the cause of 
serious injury or threat. Furthermore, neither Party can simultaneously apply a bilateral safeguard 
measure under the Agreement and a measure under GATT Article XIX for the same good (Article 
8.7).  
3.4.2.2   Bilateral safeguards  
3.42.   Bilateral safeguards are permitted under the Agreement in accordance with provisions in 
Article s 8.2 through 8.6 . Accordingly, if the reduction or elimination of a customs duty leads to 
substantial increase in imports of a good from the other Party, resulting in serious injury or the 
threat of serious injury to a domestic industry, the importing Party can take bilateral safeguard 
measures. The y may include (a) a suspension of further redu ctions in customs duties under the 
 
14 The enquiry point for Colombia is the TBT enquiry point at the Central Registry of Notifications in 
accordance with the WTO TBT  Agreement , and for Israel, it is Foreign Trade Administration, Ministry of 
Economy.  WT/REG 468/1 
 
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  Agreement on the product in question, and (b) an increase in customs duty rates on that product to 
a level not exceeding the current MFN applied rate when the measure is taken or the base rate as 
provided for in Article 2 .14 under Chapter 2 of the Agreement , whichever is lower. A Party applying 
a measure may set an import quota for a product based on the agreed preference or concession in 
the Agreement.  However, the quota shall not reduce import quantities below the averag e level of 
imports before the existence of significant injury.  
3.43.   Bilateral measures can only be applied  in the first  year after tariff preferences under Chapter 
2 came into force , for a maximum of two years with a possible extension of up to two more years  
following the investigation under Article 8.4. The measures cannot be applied more than once against 
the same product.  For perishable or seasonal goods, no measure may be applied more than four 
times within the initial two years or for a cumulative period exceeding four years  above .  
3.44.   Bilateral safeguards may not be taken after  the transition period of tariff liberalization under 
the Agreement has ended unless otherwise agreed by the Parties. At the end of transition period, 
the Joint Committee shall evaluat e and decide on continuing  the provision.  
3.45.   A Party shall implement a safeguard measure only after conducting an investigation in line 
with its domestic laws and provisions of the WTO Safeguards Agreement, in particular its Articles  3 
and 4.2(c) which are i ncorporated to the Agreement , mutatis mutandis . During the investigation, 
the Party must adhere to the conditions in Article 4.2(a) of the Safeguards Agreement, which is also 
incorporated into th e Agreement  (Article 8.4) . Provisional bilateral safeguard measures  can be 
applied in critical circumstances for up to 200  days under  certain conditions  and not before 44 days 
after initiation of an investigation (Article 8.5) .  
3.46.   A Party must promptly notify the other Party in writing when initiating a sa feguard 
investigation, determining serious injury or a threat due to increased imports, or deciding to impose 
or extend a safeguard measure, and provide a copy of its investigating authority's report. If a Party 
whose goods are under investigation requests  consultations within 10 days of receiving the 
notification, the investigating  Party must engage in consultations within the Joint Committee to find 
a mutually satisfactory solution. If such consultations do not result in a satisfactory solution within 
20 days of the notification, the Party may imp ose safeguards . 
3.4.2.3   Other safeguard measures  
3.47.   There are no other safeguard measures that apply to trade in goods, except balance of 
payments (BOP) restrictions, which are discussed under Section 5.3.4 .  
3.4.3   Anti-dumping and countervailing measures  
3.48.   The Parties retain their rights and obligations in accordance with Article VI of the GATT 1994, 
the WTO Antidumping Agreement and the Agreement on Subsidies and Countervailing Measures 
(Article 8.8).   
3.4.4   Subsidies and State-aid 
3.49.   The Agreement does not include any general provisions concerning subsidies  and State-aid. 
However, upon the Agreement's entry into force, no Party shall maintain , introduce or re -introduce  
export subsidies or other measures with equivalent effect on agricultural goods ( as defined by Article 
9 of the WTO Agreement on Agriculture and covered by their respective schedules under Annex 2 -B) 
destined for the other Party. If a Party maintains, introduces,  or re-introduces such subsidies, the 
importing Party shall request consultations. If, after 90 days, the subsidy is confirmed, not 
suspended, and no mutual solution is reached, the importing Party can raise duty rates to i ts MFN 
level (Article 2.19).  
3.4.5   Customs -related procedures  and trade facilitation  
3.50.   Chapter 3 of the Agreement addresses customs procedures related to origin, while Chapter 4 
focuses on customs cooperation and trade facilitation. Article 4.1 establishes cooperation between 
the Parties in the implementation and operation of the Agreement, including on  import/export  WT/REG 468/1 
 
- 20 - 
 
  procedures , preferential treatment, and customs valuation. Official contact points are designated to 
facilitate communication, and unresolved matters are referred to the Sub -Committee on Customs, 
Trade Facilitation, and Rules of Origin. The Agreement promotes transparent and efficient customs 
procedures, including simplification, technology integration, and advance electronic submission for 
quick release of goods. The Parties aim to enhance trade facilitation through mutual consul tations 
and information exchange among their customs authorities (Article 4.2).  
3.51.   Each Party shall try to ensure  efficient customs procedures, including the swift release of 
goods (ideally within 48 hours of arrival), advance electronic submission and pre-arrival processing 
of information, enabling release of goods upon arrival, and allowing importers to withdraw goods 
before the final determination of duties, with the option of providing a guarantee. The Parties shall 
endeavour to ensure that emergency customs procedures are available 24/7 and that customs 
control and p hysical inspections of goods are carried out simultaneously and at a single location  
(Article 4.3) .  
3.52.   The Parties agree to exchange information on their respective risk management techniques 
and aim to improve them, focusing customs administration resources  on high -risk shipments.  They 
are also committed to promptly publish or make publicly available, including on the Internet, their 
customs -related laws, regulations, and procedures to make them accessible to interested persons 
and parties (Article 4.5). Recognizing the benefit and efficiency of using electronic documents, they 
aim to implement and promote paperless customs procedures (Article 4.6).  
3.53.   Based on their domestic laws, the Parties shall endeavour to provide  advance rulings 
expeditiously  on goods cl assification, customs valuation, rules of origin, and preferential treatment  
(Article 4.7) . They also agree to promote the granting of Approved Economic Operator (AEO) status 
to economic operators to facilitate trade and endeavour to promote an MRA for AEO s (Article 4.9).  
3.54.   Article 4.10 ensure s access to administrative and judicial review and appeal mechanisms for 
customs matters.  Provisions to ensure the proper application of customs laws and enforcement is 
also provided in Annex A of the Agreement on mutua l administrative assistance in customs matters 
between the Parties. The scope of the Annex covers the proper application of customs laws, 
assessment of customs duties and taxes, and the addressing of customs offenses. It also outlines 
instances where speci al assistance may be required and emphasizes professional and technical 
cooperation . 
3.55.   Article 4.12 establishes a Sub -Committee on Customs, Trade Facilitation, and Rules of Origin 
to provide  regular updates and formulate resolution s for approval by the Joint  Committee.  
3.4.6   Other regulations  
3.56.   In addition to the provisions described above, there are no other regulations in the Agreement.  
3.5  Sector -specific provisions on trade in goods  
3.57.   There are no sector -specific provisions in the Agreement.  
4  PROVISIONS ON TRADE IN SER VICES AND INVESTMENT  
4.1  Scope and definitions  
4.1.  Chapter 11 applies to measures  adopted or maintained by the Parties that affect trade in all 
services  except as otherwise specified under the Chapter . Trade in services is defined as the supply 
of a service through the four modes of supply as under the GATS. Chapter  11 does not apply to the 
measures related to air traffic rights and services closely linked to them, except as specified in the 
GATS Annex o n Air Transport Services15 (Article 11.1). Additionally, it does not impose obligations 
regarding government procurement  which  are covered in Chapter 9 (See Section 5.8 ). 
 
15 Definitions from the GATS Annex on Air Transport Services apply  for the purpose of Chapter 11.  WT/REG 468/1 
 
- 21 - 
 
  4.2.  The provisions of Chapter 11 are complemented through  five Annexes (11 -A through 11 -E). 
Annex 11 -A contains lists of MFN exceptions, and Annex 11 -B contains provisions on the movement 
of natural persons supplying services. Annexes 11 -C and 11 -D ap ply to financial and 
telecommunication services, respectively. Specific commitments are in Annex 11 -E (Section 1 for 
Colombia , and Section 2 for Israel) . 
4.3.  Provisions on investment are governed by Chapter 10 (See Section 4.5.5.2  ).  
4.2  Denial of benefits  
4.4.  The Agreement does not contain an explicit provision on denial of benefits. However,  only 
juridical person s of either Party can  benef it from the Agreement .16 
4.3  General provisions on trade in services and investment  
4.3.1   Market access  
4.5.  Provisions on market access in Article 11.4 mirror those of Article XVI of the GATS. The Parties' 
schedules of specific commitments specify the conditions  and/or limitations on market access for 
trade in services under the Agreement.   
4.3.2   National and MFN treatment  
4.6.  National treatment provisions in Article 11.5 are similar to those in GATS Article XVII. The 
Parties' commitments are outlined in their sc hedules of specific commitments  and apply only to the 
sectors and subsectors listed subject to the conditions and/or limitations  therein . 
4.7.  The Parties agree to treat each other's services and service suppliers as favourably as those 
from third parties, exce pt as otherwise provided in their lists of MFN exemptions in Annex 11 -A 
(Article 11. 3). However, treatment granted under other agreements concluded by one of the Parties 
and notified under GATS Article V, as well as treatment granted in accordance with GAT S Article VII, 
are not subject to MFN treatment. If a Party enters into an agreement notified under GATS Article  V, 
it shall upon request from another Party afford adequate opportunity to that Party to negotiate the 
benefits granted therein. The provisions  of Chapter 11 shall not prevent the Parties from conferring 
or according advantages to adjacent countries in contiguous frontier zones to facilitate exchanges 
limited to locally produced and consumed services.  
4.8.  Regarding Investment (Chapter 10), subject t o its legislation at the time of entry into force of 
the Agreement, each Party shall grant national treatment to each -others' investors (Articles 10.4). 
Similarly, MFN treatment is extended to the expansion, management, maintenance, use, enjoyment, 
conduct  or disposal of investment, operation and sale or other disposition of investments in the host 
Party's territory.  
4.3.3   Commercial  presence  
4.9.  In Article 11.2, commercial presence is defined as any type of business or professional 
establishment, including through  (a) the constitution, acquisition, or maintenance of a juridical 
person, or ( b) the creation or maintenance of a branch or a representative office, within the territory 
of a Party for the purpose of supplying a service.  
4.10.   Subject to conditions and li mitations in the Parties' Schedules of specific commitments, the 
disciplines, commitments and modalities in Chapter 11 apply to commercial presence for the sectors 
listed.  
 
16 Juridical person of the other Party is defined as an entity organized under the law of the other P arty 
and engaged in business operations within the territory of either Party or a WTO Member (Article 11.2) . WT/REG 468/1 
 
- 22 - 
 
  4.3.4   Performance requirements  
4.11.   There are no general provisions on performance requirement s in Chapter 11, however some 
commitments made by t he Parties in their Schedules  of commitments include performance 
requirements . For example, to obtain national treatment in mode 2 for foreign person s planning to 
undertake scientific research on biologica l diversity in the territory of Colombia  at least one 
Colombian researcher  must be involved  in the research or analysis of the results.  Similarly, national 
treatment for mode 3 would only be provided to a branch of a foreign law firm established in Israel 
if it employs either at least one Israeli licensed lawyer or one foreign lawyer as defined in Israeli 
Law.  
4.3.5   Senior Management and Boards of Directors  
4.12.   There are no specific provisions on senior management and boards of directors in the 
Agreement. However, s ome horizontal commitments include provisions in this regard. For example, 
Israel has a horizontal limitation on mode 3, requiring that a public corporation must have a 
minimum of two outside directors on its board. These directors must be Israeli resident s and must 
maintain no business or personal ties with the company or its controlling entity.  
4.3.6   Movement of natural persons  
4.13.   Natural persons covered by a specific commitment in the Parties' schedules, shall be allowed 
to supply the service, in accordance with the terms of that commitment (Article 11.9). Annex 11-B 
of the Agreement sets out further rights and obligations regardin g the movement of natural persons 
of the Parties supplying services . Some of the provisions in Annex  11-B are similar to those in the 
GATS Annex on the Movement of Natural Persons. Annex 11 -B provides for information to be made 
publicly available for an effective application  for entry, temporary stay, and work permits for natural 
persons covered by the Agreement (Article 3 of Annex 11 -B). It also establishes a Temporary Entry 
Working Group to consider matters related to the implementation and administration  of the Annex , 
develop common criteria and interpretations  to further facilitate temporary entry in line with  specific 
commitments, and explore measures of mutual interest.  The Annex also makes provision for contact 
points17 and expeditious application pro cedures.  
4.14.   The horizontal commitment section of the Parties' Schedule of specific commitments defines 
the categories of natural persons and the conditions for their entry into and stay in the territories of 
the Parties. Colombia has enhanced its commitments  under the Agreement by either removing 
existing GATS conditions or making new commitments under the category of additional natural 
persons. Israel's GATS commitments remain unchanged  (Table 4.1) . 
Table 4.1 Colombia  and Israel : Commitments taken by the Parties on the movement of 
natural persons  
Category  Conditions for the temporary movement  
of natural persons  
GATS  Agreement  
In Colombia  
Managers a • Length of stay not specified; employers with 
over ten employees must hire at least 90% 
Colombians for ordinary roles and 80% for 
skilled, admin istrative , or leadership  posts . • The requirement to hire 90% Colombians 
for ordinary roles and 80% for skilled, 
admin istrative , or le adership positions is 
removed.  
Business 
visitors  --- • Temporary stay up to 6 months is without 
establishing Colombian residency or 
receiving payment for work in Colombian 
territory . 
Installers and 
maintainers  --- • Temporary stay up to 45 days without 
establishing Colombian residency or 
receiving payment for work in Colombian 
territory . 
 
17 Coordinator, Visa and Immigration Coordination, Ministry of Foreign Affairs is designated as the 
contact point for Colombia, while Director, Regi stry and Status Division, and Migration Authority, Ministry of 
Interior, is designated for Israel.  WT/REG 468/1 
 
- 23 - 
 
  Category  Conditions for the temporary movement  
of natural persons  
GATS  Agreement  
In Israel  
Intra Corporate 
Transferees  Executives and Managers  
• Temporary entry without requiring 
compliance with labour market test.  
Executives and Managers  
• Temporary entry in compliance with labour 
market test.  • Same as in the GATS.  
a including legal representatives and technical specialists, except for from the professional services 
subsectors.  
---: no commitments  
Source:  WTO Secretariat based on horizonal commitment sections of Schedule of Specific Commitments 
under the Agreement (Annexe  11-E, Sections 1 and 2 ) and the GATS (S/DCS/W/ COL and 
S/DCS/W/ ISR). 
 
4.4  Liber alization commitments   
4.15.   The Parties' market access and national treatment commitments are detailed in their 
respective Schedules, following a positive list approach similar to that of the GATS. They may also 
include information on the effective date and imp lementation periods of the commitments  (Article 
11.15) . The Parties  may negotiate additional commitments on measures affecting trade in services, 
including those regarding qualifications, standards,  or licensing matters  and add them to their  
Schedules of specific commitments (Article 11.6). 
4.16.   The Parties agreed to periodically review their specific commitments an d lists of MFN 
Exemptions with the objective of further liberalizing trade in services between them. This involves 
reducing or eliminating substantially all remaining discrimination between them regarding trade in 
services covered by Chapter 11 on a mutual ly advantageous basis and ensuring an overall balance 
of rights and obligations. The first review shall take place within two years of the Agreement's entry 
into force, followed by subsequent reviews every three years.   
4.17.   The following section compares the Parties' horizontal limitations and sectors specific 
commitments on market access and national treatment for all covered service sectors in the GATS 
and the Agreement.  
4.4.1   Colombia  
4.4.1.1   MFN and Horizontal commitments  
4.18.   Colombia's MFN exemptions under the GATS include value -added telecommunications 
services and land transport, offering preferential treatment exclusively to service providers from the 
Andean Community. Exemptions  also apply to audio -visual  services18, with access contingent upon 
existing and prospective r eciprocal agreements. The MFN exception relating to financial and 
insurance -related services restrict s market access to foreign service suppliers, ensuring satisfactory 
opportunities for Colombian service providers to access their markets. Under the Agreem ent, 
Colombia continues to maintain  its MFN exemptions in telecommunications , land transport, and 
audio -visual  services , while the GATS exemptions for financial and insurance -related services are 
withdrawn . 
4.19.   Colombia has a few horizontal reservations in mode 3 under the GATS  which  include 
investment projects related to national defence and toxic waste. Additionally, unappropriated land 
along coastlines and border regions can only be awarded to Colombian citize ns by birth and  cannot 
be transferred to foreigners. Moreover, in the San Andrés and Providencia Archipelago, specific 
regulations and reservations are in place to oversee the acquisition of real property by foreigners, 
 
18 the co -production of audiovisual works for cinema or television, in particular, conditions for  
distribution, access and financing . WT/REG 468/1 
 
- 24 - 
 
  as well as procedures for immigratio n and human settlements. Under the Agreement, Colombia 
maintains  its GATS horizontal commitments.  
4.4.1.2   Sector -specific commitments in trade in services  
4.20.   Under the Agreement, Colombia improves  its GATS commitments by broadening the coverage 
of sector -specific commitments and increasing access to markets and/or national treatment through 
the removal of limitations. Table 4.2 provides a summary of Colombia's specific commitments under 
the Agreeme nt, by main sectors and subsectors  compared to its GATS commitments. The 
comparison only concerns market access and national treatment  in modes 1 -3. It does not cover 
MFN and horizontal limitations  or mode 4 limitations .19 
Table 4.2 Colombia : Comparison between GATS and Agreement specific commitments  
Sectors/Subsectors  
(CPC Classification)  Sectoral commitments  
GATS  Agreement  Compared to GATS  
1. Business services     
A. Professional  Services  Partial  Partial  Improved  
B. Computer  and Related  Services  Partial  Partial  Improved  
C. Research  and Development  Services  --- Partial  Improved  
D. Real  Estate  Services  --- --- Same  
E. Rental/Leasing  Services  without  Operators  Partial  Partial  Improved  
F. Other  Business  Services  Partial  Partial  Improved * 
2. Communication services     
A. Postal  services  --- --- Same  
B. Courier  services  --- --- Same  
C. Telecommunication  services  Partial  Partial  Improved  
D. Audiovisual  services  --- --- Same  
E. Other  --- --- Same  
3. Construction and related engineering 
services     
A. General  construction  work for buildings  Partial  Partial  Same  
B. General  construction  work for civil Engineering  Partial  Partial  Improved * 
C. Installation  and assembly  work  Partial  Full Improved  
D. Building  completion  and finishing  work  --- Partial  Improved  
E. Other  Partial  Partial  Improved  
4. Distribution services     
A. Commission  agents'  services  --- --- Same  
B. Wholesale  trade services  --- --- Same  
C. Retailing  services  --- --- Same  
D. Franchising  --- --- Same  
E. Other  --- --- Same  
5. Education services     
A. Primary education services  --- --- Same  
B. Secondary education services  --- --- Same  
C. Higher education services  --- --- Same  
D. Adult education  --- Full Improved  
E. Other education services  --- --- Same  
6. Environmental services     
A. Sewage services  --- Partial  Improved  
B. Refuse disposal services  --- Partial  Improved  
C. Sanitation and similar services  --- Partial  Improved  
D. Other  --- Partial  Improved  
7. Financial services     
A. All insurance  and insurance -related  services  Partial  Partial  Improved  
B. Banking  and other financial  services  Partial  Partial  Improved * 
C. Other  --- --- Same  
8. Health related and social services     
A. Hospital services  --- --- Same  
B. Other Human Health Services  --- --- Same  
C. Social Services  --- --- Same  
D. Other  --- --- Same  
9. Tourism and travel related services     
A. Hotels  and restaurants (including catering)  Partial  Full Improved  
B. Travel  agencies  and tour operators  services  Full Full Same  
C. Tourist  guides  services  --- Full Improved  
D. Other  --- --- Same  
 
19 The attachment to Colombia's Schedule (limitations applied to sector -specific commitments) is not 
incorporated in the table and should therefore be kept in mind when assessing its commitments. . WT/REG 468/1 
 
- 25 - 
 
  Sectors/Subsectors  
(CPC Classification)  Sectoral commitments  
GATS  Agreement  Compared to GATS  
10. Recreational and cultural and sporting 
services     
A. Entertainment  services  --- --- Same  
B. News agency services  --- --- Same  
C. Libraries, archives, museums and other cultural 
services  --- Partial  Improved  
D. Sporting and other recreational services  --- --- Same  
E. Other  --- --- Same  
11. Transport services     
A. Maritime Transport Services  --- --- Same  
B. Internal Waterways Transport  --- --- Same  
C. Air  Transport  Services  --- Partial  Improved  
D. Space  Transport  --- --- Same  
E. Rail  Transport  Services  --- --- Same  
F. Road  Transport  Services  --- --- Same  
G. Pipeline  Transport  --- --- Same  
H. Services  auxiliary  to all modes  of transport  --- --- Same  
I. Other  Transport  Services  --- --- Same  
*  Some  subsectors covered under the GATS are not includ ed in the Agreement .  
Full:  No sector -specific limitation/reservation and all subsectors covered.  
Partial:   Sector -specific limitations/reservations or not all subsectors covered.  
---:   No specific commitments.  
Improved:   Overall improved commitments under the Agreement compared to the GATS.  
Same:   Similar commitments (Agreement vs GATS); though possibly, in specific individual cases, with 
 limited improvements and/or limited additional reservations.  
Source:   Draft Consolidated GATS Schedule of Specific Commitments (S/DCS/W/COL) and Colombia's 
Sched ule, Annexed 11-E (Section 1) to the Agreement.  
4.4.1.2.1   Business services  
4.21.   Under the GATS, Colombia has a number of partial commitments for business services. Under 
the Agreement, its overall commitments have been substantially enhanced. Professional and legal 
services  (with the removal of mode 3 unbound GATS commitment s) and accounting and bookkeeping 
services (by lifting the GATS market access condition on mode 3) are fully liberaliz ed. Moreover, full 
commitments have been made for several new subsectors, including architectural, engineering, 
integrated engineering, urban planning, and landscape architectural services.  Computer and related 
services are fully liberalized (with the remo val of mode 1 unbound commitment in the GATS), except 
for 'other' services , which is not listed in either the GATS or the Agreement. Partial commitments 
have been introduced for national treatment for mode 1 in  research and development services, 
particular ly those associated with the physical science s. Leasing and rental services related to other 
means of transport without an operator  are fully liberalized, incorporating full commitments in mode 
1, which is unbound under the GATS. In addition , full commitme nts are extended to leasing and 
rental services for other machinery and equipment.   
4.22.   For other business services, the scope of covered subsectors under the GATS is expanded, 
and commitments in new subsectors are added.  The scope of coverage for project management, 
optimization of operations services, technical testing and analysis, and services incidental to mining 
is extended to the entire subsector with full commitments. Furthermore,  full commitments are made 
in several new subsect ors.20 However, fishing services and photogeology services, which are in 
Colombia's  GATS  commitments  are not in the Agreement.  
4.4.1.2.2   Communication services  
4.23.   Postal and courier services are unbound both under the GATS and the Agreement. The 
coverage of telecommun ication services commitments has been expanded, with new subsectors 
added in the Agreement with certain conditions and limitations, while existing conditions and 
limitations for sub sectors under the GATS have either been improved or are unchanged . Colombia  
fully liberalized covered telephony and carrier services by lifting the 70% foreign equity ceiling  for 
 
20 Placement and supply services of personnel (CPC 872) ; related scientific and technical consulting 
services (CPC 8675) ; equipment cleaning and repair services (CPC 633+8861 -8866) ; building -cleaning services 
(CPC 874) ; packaging services (CPC 876) ; and printing and publishing (C PC 88442) .  WT/REG 468/1 
 
- 26 - 
 
  mode 3 under the GATS . Value -added telecommunications services which are subject to mode 1 
restrictions and mode 3 conditions under the GATS are fully liberalized under the Agreement. In 
addition, f acilities -based services for non -public use are fully liberalized for modes 1 -3 under the 
Agreement.  
4.24.   As in the headnotes of the Schedule, additional conditions apply to all covered 
telecommunications services. The y include the requirement that contracts or licenses for service 
suppliers are exclusively granted to enterprises legally established in Colombia, the exclusion of 
commitments on radio and television broadcasting services, a nd the utilization of classification 
definitions in the Schedule based on Colombian legislation. Annex 11 -D of the Agreement contains 
supplementary rules and disciplines on telecommunications services (See Section 4.6.1 ).  
4.4.1.2.3   Construction and related engineering services  
4.25.   The Agreement extends full coverage to the sector compared to p artial coverage in the GATS  
except  for 'other' services21, fully liberalizing modes 2 -3 while leaving mode 1 unbound. Additionally, 
rental services related to equipment for construction or demolition of buildings or civil engineering 
works, with an operator (CPC 518), are also added in the Agreement with full commitments . 
However, some commi tments in the GATS have been withdrawn in the Agreement. For instance, 
under general construction work for civil engineering, mode 1 for related services of a golf course is 
fully liberalized  in the GATS but is unbound in the Agreement. This also applies t o several other 
service s22 under general construction work for civil engineering, which are classified in a different 
sector in the GATS Schedule but are missing from the Agreement.   
4.4.1.2.4   Distribution services  and health related and social services  
4.26.   The sector s are unbound in both the GATS and the Agreement . 
4.4.1.2.5   Educational services   
4.27.   No commitments are made for the sector in the GATS. However, under the Agreement, adult 
education services are fully liberalized, while the other subsectors remain unbound, as in the GATS.  
4.4.1.2.6   Environmental services  
4.28.   While the sector is unbound under the GATS, partial commitments are made in the Agree ment. 
Modes 2 -3 are fully liberalized for sewage services and refuse disposal services23, with an exception 
for market access under mode 3 for services established or maintained for a public purpose. Similar 
commitments are extended to sanitation and simil ar services, as well as for several service 
categories under 'other' s ervices24, but the market access exclusion for public purpose s also applies 
to mode 1.  
4.4.1.2.7   Financial services   
4.29.   Colombia's commitments under both the GATS and the Agreement contain horizontal  
limitations applicable to all covered financial services. Under the GATS, these mode 3 commitments 
include a mandatory economic needs test, allowing foreign providers to operate solely as affiliated 
companies or subsidiaries (excluding branches), and proh ibiting agencies of foreign financial entities. 
In the Agreement, the economic needs test requirement  is removed, and the restrict ion on  
 
21 Except the 'other' category only covers services related to pre -erection work at  building and construction 
sites. 
22 Design, erection and maintenance of production facilities (separator tanks, heaters, collecting lines);   
design, operation an d maintenance of production, including mechanical pumping, hydraulic pumping, 
electro submersible pumping, gas lift, and work carried out on wells after completion (cleaning, repairs); 
design, construction, operation and maintenance of oil and gas pipeline s; construction assembly and 
infrastructure studies; and road design.  
23 Excluding activities related to the processing, disposition, and disposal of toxic, hazardous or radioactive 
waste not produced in Colombia . 
24 Cleaning services of exhaust gases (CPC 9 4040), noise abatement services (CPC 94050), nature and 
landscape protection services (CPC 94060), other environmental protection services (94090)  WT/REG 468/1 
 
- 27 - 
 
  establishment of foreign financial service suppliers as branches, under the GATS, is withdrawn , 
though Colombia reserves the right to choose how to regulate them. Moreover, apart from 
reinsurance and retrocession, all financial services related to statutory social security systems or 
public retirement plans are excluded for all modes of supply in the Agreement, and Colombia may 
require authorization for cross -border financial service suppliers of Israel and their instruments, for 
modes 1 -2.25 Additional rules and disciplines in financial services are included in Annex 11 -C of the 
Agreement (See Section 4.6.2 ).  
4.30.   Concerning sectoral commitments, Colombia has added partial mode 3 commitments  for life 
insurance subject to certain market access conditions , where similar GATS commit ments are made 
only for non -life insurance . Additional partial commitments for modes 1 -3, with some market access 
exceptions  such as regulation in the case of branching , but no national treatment limitations, are 
made for marine, aviation, and other transp ort insurance services. Reinsurance and retrocession 
services continue to be fully open, as in the GATS. Similarly, by removing the GATS mode 3 
exceptions, some auxiliary services  to insurance26 are fully liberalized.  In banking and other financial 
services, Colombia has undertaken partial commitments including for new subsectors not covered 
in the GATS .27 Modes 1 -2 are unbound for services related to asset management and settlement 
and clearing services and  are fully l iberalized (except for credit reference and analysis) for services 
related to the provision and transfer of financial information and advisory, intermediation, and other 
auxiliary financial services. However, some subsectors28 covered in the GATS  are not l isted in 
Colombia's Schedule under the Agreement.  
4.4.1.2.8   Tourism and travel related services  
4.31.   Except for other services, tourism and travel related services are fully liberalized under the 
Agreement with Colombia making  new commitments and improving its GATS com mitments.  
4.4.1.2.9    Recreational, cultural and sporting services  
4.32.   While the entire sector is unbound under the GATS, Colombia made partial commitments in 
library, archive, museum, and other cultural services, leaving market access unbound but granting 
national treat ment with no limitation for modes 1 -3.  
4.4.1.2.10   Transport services  
4.33.   There are n o commitments on the sector under the GATS. However, under the Agreement, 
maintenance and repair of aircraft services (CPC 8868) is fully liberalized, while leaving other 
subsectors unbo und, as in the GATS.  
4.4.2   Israel  
4.4.2.1   MFN and Horizontal commitments  
4.34.   Under the GATS, Israel has MFN exemptions for film and television programming co -
production and distribution services, granting preferential treatment only to works co -produced with 
countries that have agreements with Israel. Regarding banking services, foreign service providers 
 
25 This is, however, without prejudice to other means of prudential regulation of cross -border trade in 
financial services.  
26 Consultancy, actuarial services, risk assessment, and claim settlement services.   
27 These include service categories xiii (asset m anagement), xiv (settlement and clearing services), xv 
(provision and transfer of financial information), and xvi (other auxiliary financial services) contained in the 
GATS Annex on Financial Services. The commitments primarily focus on mode 3 liberalizati on for all of them, 
with certain exceptions.  
28 (a)  Acceptance of deposits and other repayable funds from the public; (b)  Lending of all types, including 
consumer credit, mortgage credit, factoring by financial institutions, and financing of commercial transactions; 
(c)  Financial leasing services; (d)  Guarantees and commitments; (e)  Trading for own account or for account 
of customers, whether on an exchange or in an over -the-counter market, of the instruments mentioned in 
subparagraphs (x) (C), (E) and (F) of paragraph 5(a) of the Annex on financial services; (f)  Participation in 
issues of all kinds of securities, including underwriting and placement as agent (whether publicly or privately) 
and provision of services related to such issues; and (g)  Money broking.  WT/REG 468/1 
 
- 28 - 
 
  can obtain a license if their country grants Israeli suppliers similar market access. Under the 
Agreement, Israel maintains these  MFN exemptions.  
4.35.   Israel maintain s mode 3 horizontal reservations for the registration of corporate bodies, based 
on its 'Companie s Ordinance ', in both GATS and the Agreement. The most recent version of the 
ordinance, Companies Law 5759 -1999, mandates that public corporations in Israel must have at 
least two outside directors who are Israeli residents and have no ties to the company or with the 
holder of control of the company . A foreign company maintaining a place of business or an office in 
Israel for share registration or transfer s must register and pay fees. Additionally, a foreign 
partnership formed outside Israel may only conduc t business in Israel if it is registered with the 
Israel Registrar of Partnerships, and , for limited partnerships, has the approval of the Minister of 
Justice.  
4.4.2.2   Sector specific commitments in trade in services  
4.36.   While largely reassembling its GATS commitments , Israel has improved its commitments in 
the Agreement by upgrading or undertaking new commitments in a few  sectors. Table 4. 3 below 
summarizes its specific commitments under the Agreement by sectors and subsectors and compares 
them with its GATS commitmen ts. The comparison only  concerns mode s 1-3 market access and 
national treatment. It does not cover MFN and horizontal limitations, or mode 4.  
Table 4.3: Israel : Liberalization commitments under the Agreement in comparison to the 
GATS  
Sectors/Subsectors  
(CPC Classification)  Sectoral commitments  
GATS  Agreement  Compared to GATS  
1. Business services     
A. Professional  Services  Partial  Partial  Improved  
B. Computer  and Related  Services  Partial  Partial  Same  
C. Research  and Development  Services  --- --- Same  
D. Real  Estate  Services  --- --- Same  
E. Rental/Leasing  Services  without  Operators  --- --- Same  
F. Other  Business  Services  Partial  Partial  Same  
2. Communication services     
A. Postal  services  Partial  Partial  Same  
B. Courier  services  Partial  Partial  Same  
C. Telecommunication  services  Partial  Partial  Improved  
D. Audiovisual  services  Partial  Partial  Same  
E. Other  ---  Same  
3. Construction and related engineering 
services     
A. General  construction  work for buildings  --- --- Same  
B. General  construction  work for civil Engineering  --- --- Same  
C. Installation  and assembly  work  --- --- Same  
D. Building  completion  and finishing  work  --- --- Same  
E. Other  --- --- Same  
4. Distribution services     
A. Commission  agents'  services  --- --- Same  
B. Wholesale  trade services  --- Partial  New  
C. Retailing  services  --- Partial  New  
D. Franchising  --- --- Same  
E. Other  --- --- Same  
5. Education services     
A. Primary education services  --- --- Same  
B. Secondary education services  --- --- Same  
C. Higher education services  --- --- Same  
D. Adult education  --- --- Same  
E. Other education services  --- --- Same  
6. Environmental services     
A. Sewage services  Partial  Partial  Same  
B. Refuse disposal services  Partial  Partial  Same  
C. Sanitation and similar services  Partial  Partial  Same  
D. Other  Partial  Partial  Same  
7. Financial services     
A. All insurance  and insurance -related  services  Partial  Partial  Improved  
B. Banking  and other financial  services  Partial  Partial  Same  
C. Other  --- --- Same  WT/REG 468/1 
 
- 29 - 
 
  Sectors/Subsectors  
(CPC Classification)  Sectoral commitments  
GATS  Agreement  Compared to GATS  
8. Health related and social services     
A. Hospital services  --- --- Same  
B. Other Human Health Services  --- --- Same  
C. Social Services  --- --- Same  
D. Other  --- --- Same  
9. Tourism and travel related services     
A. Hotels  and restaurants (including catering)  Partial  Partial  Improved  
B. Travel  agencies  and tour operators  services  Partial  Partial  Improved  
C. Tourist  guides  services  Partial  Partial  Improved  
D. Other  --- --- Same  
10. Recreational and cultural and sporting 
services     
A. Entertainment  services  --- --- Same  
B. News agency services  --- --- Same  
C. Libraries, archives, museums and other cultural 
services  --- --- Same  
D. Sporting and other recreational services  --- --- Same  
E. Other  --- --- Same  
11. Transport services     
A. Maritime Transport Services  --- --- Same  
B. Internal Waterways Transport  --- --- Same  
C. Air  Transport  Services  --- Partial  New 
D. Space  Transport  --- --- Same  
E. Rail  Transport  Services  --- --- Same  
F. Road  Transport  Services  --- Partial  New 
G. Pipeline  Transport  --- --- Same  
H. Services  auxiliary  to all modes  of transport  --- Partial  New 
I. Other  Transport  Services  --- --- Same  
Full: No sector -specific limitation/reservation and all subsectors covered.  
Partial:  Sector -specific limitations/reservations or not all subsectors covered.  
---:  No specific commitments.  
New: New commitments under the Agreement (full or partial, with or without limitations) which can, in 
most cases, be seen as "improved".  
Improved:  Overal l improved commitments under the Agreement compared to the GATS.  
Same : Similar commitments (Agreement vs GATS); though possibly, in specific individual cases, with limited 
improvements and/or limited additional reservations.  
Source:  Draft Consolidated GAT S Schedule of Specific Commitments (S/DCS/W/IS R) and Israel's Schedule, 
Annexed 11 -E (Section 2) to the Agreement.  
4.4.2.2.1   Business services  
4.37.   While commitments  in business services largely remain the same as in the GATS, the 
Agreement makes a few improvements. Under the GATS, i n professional services, accounting29, 
engineering, and urban planning30 services have been fully liberalized, while legal services have been 
opened, with the exception of a mode 3 reservation for Israeli residents or citizens. Under the 
Agreement, the conditions on market access in mode 3 are lifted, and national treatment limitations 
are improved for legal services. Computer and related services are liberalized both in the GATS and 
the Agreement, except that 'other' services are  not include d, and time -sharing services are excluded 
from data processing. Several service categories are fully liberalized, both in the GATS and the 
Agreement, under other business services .31 Partial commitments are made for services incidental 
to mining and oil fields, as well as for placement and supply services of personnel (domestic market 
only), with mode 3 fully opened and modes 1 -2 unbound , both in the GATS and the Agreement .  
4.4.2.2.2   Communica tion services  
4.38.   Israel has  partial commitments under the GATS on communication services  which are  slightly 
improved in the Agreement by removing specific reservations and conditions. Postal and courier 
services (for items weighing above 500 grams per address ed item) are fully open for modes 1 -2, 
while mode 3 remains unbound, both in the GATS and the Agreement.  In telecommunication s 
 
29 Auditing and bookkeeping services are  not covered .   
30 Landscape architectural services are not covered.  
31 Advertising, market research and public opinion, management consulting services, related scientific 
and technical consulti ng, and photographic services  WT/REG 468/1 
 
- 30 - 
 
  services, the GATS market access conditions for mode 1, particularly for voice telephone services 
(accessible exclusively through  the Bezeq network, the Israeli Telecommunication Corporation 
Limited), are eliminated , while mode 2 remains open, as in the GATS. However, new national 
treatment limitations have been introduced for mode 332, compared to  the GATS. By eliminating all 
GATS market access conditions for modes 1 -3, local and long -distance non -public voice telephone 
services (such as closed user groups and private networks) have been fully liberalized, with some 
exceptions .33 Similarly, market access conditions for modes 1 -3 hav e been removed for packet and 
circuit -switched data transmission, facsimile services, and private leased circuit services, resulting 
in full commitments for these subsectors.  Additionally, Annex 11 -D of the Agreement contains 
supplementary rules and discip lines on telecommunications services (See Section 4.6.1 ).  
4.39.   Partial GATS commitments  on audio -visual services are maintained in  the Agreement. For 
motion pictures and video -tape production services, mode 1 remains unbound, while mode 2 is fully 
open. Full market access is granted in mode 3, but limitations on national treatment are imposed, 
with grants entitlement s available only for Israeli movies with a minimum of 25% Israeli 
investments. Furthermore, modes 2 -3 continue to remain open for the dist ribution of motion pictures 
and videotape services, and mode 1 remains unbound.  
4.4.2.2.3   Distribution services  
4.40.   While the entire sector is unbound under its GATS commitments, Israel has undertaken full 
commitments for services related to wholesale and retail trade services of motor vehicles, and sales 
of motorcycles and snowmobiles and related parts and accessories. In addition, partial commitments 
have been made, with mode 3 fully open, leaving modes 1 -2 unbound, for services related to the 
retail sales of fuel oil , bottled gas, coal, and wood.  
4.4.2.2.4   Environmental services  
4.41.   Israel has no commitments for environmental services under the GATS, but full commitments 
have been added to the Agreement for almost the entire sector, with the exception of services 
related to industrial activities .  
4.4.2.2.5   Financial services  
4.42.   Israel has general head notes in its Schedules (both in the GATS and the Agreement) which 
apply horizontally to covered financial services. Under the GATS, financial service commitments are 
governed by the Annex on Financial Services  with restrictions on currency con vertibility, impacting 
the purchase of foreign currency by permanent residents, although these restrictions are not 
intended to discriminate against foreign financial service providers.  Modes 1 -2 for c ertain financial 
services are  unbound due to currency c ontrol laws and licensing requirements .34  
4.43.   No new sectoral commitments are added to the Agreement compared to the GATS  although  
some improvements to existing commitments are made. For life insurance, including pension funds, 
mode 3 is liberalized , and mode s 1-2 are unbound in both the GATS and the Agreement. These 
commitments also apply to non -life insurance services, with a mode 2 condition regarding the 
purchase of compulsory car insurance .35 No changes are made to m arine, aviation, and other 
transport (M .A.T) services, which are liberalized in the GATS. By withdrawing the national treatment 
limitation for modes 1 -3, reinsurance and retrocession are fully opened in the Agreement. 
Additionally, mode 3 for several services auxiliary to insurance36 is fully opened, while modes 1 -2 
are unbound in both the GATS and the Agreement.  
 
32 75% of board members for public local telephone services, and the majority of board members for long -
distance and mobile telephone services, must be Israeli citizens or residents .  
33 Excess capacity may only be resold by a s upplier with an appropriate license; must be point -to-point 
without any transmission to a third party. A supplier of private network services wishing to connect private 
locations must either obtain a public voice telephone license or use a licensed public voice telephone supplier.  
34 A number of restrictions on establishment or residence are maintained for prudential reasons.  
35 Compulsory car insurance must be purchased in Israel from an insurance company established in  
Israel and licenced by the Israeli co mmissioner of insurance.  
36 Consultancy, actuarial, risk assessment, and claim settlement services.  WT/REG 468/1 
 
- 31 - 
 
  4.44.   Israel's partial commitments in the GATS for banking services remain s unchanged  in the 
Agreement .37 These commitments primarily involve opening up mode 3 with certain conditions  for 
several banking services .38 Conditional mode s 1-2 commitments39 are made for services related to 
lending of all types (vi). Additionally, mode 3 is fully opened for a few other service categories, 
including all payment and money transmission services (viii), money market instruments (x.a), 
foreign exchange (x.b), and transferable securities (x.c) . However, full commitments in mode 3 for 
advisory, intermediation, and other auxiliary financial services (xvi) are reduced in the Agreement 
by prohibiting ba nks from providing advice on acquisitions, corporate restructuring, and strategy.  
Services related to guarantees and commitments (ix) and the provision and transfer of financial 
information  (xv) are fully liberalized .  
4.4.2.2.6   Tourism and travel related services  
4.45.   Israel 's partial commitments in tourism and travel -related services have been enhanced in 
the Agreement. By removing the GATS market access condition for mode 3 and the national 
treatment limitation on mode 2, modes 2 -3 are fully open for hotel services. S imilar conditions and 
limitations on mode 3 for travel agencies, tour operators, and tourist guide services have also been 
withdrawn, resulting in modes 2 -3 being fully opened in the Agreement. Food serving services (CPC 
642-643) remain open, as in the GATS.  
4.4.2.2.7   Transport services  
4.46.   The entire sector is unbound under the GATS. Under the Agreement, Israel makes  partial 
commitments for services related to the maintenance and repair of aircraft and parts thereof, 
opening modes 1 -2 and, with market access conditions but no national treatment limitations in mode 
3. Computer reservation system s for air transport services are liberalized. For road transport 
services, modes 1 -2 are fully opened, leaving mode 3 unbound for several categories40, while a few 
other categories41 under the subsector are liberalized. Similarly, services auxiliary to all modes of 
transport, in particular cargo handling services, are fully liberalized.  
4.4.2.2.8   Construction and related engineering services; Educational service s; Health 
related and social services; and Recreational, cultural and sporting services  
4.47.   The sectors are unbound both in the GATS and the Agreement.  
4.5  Regulatory provisions  
4.5.1   Domestic regulation  
4.48.   Article 11.7 of the Agreement closely resembles Article VI of GATS. Furthermore, the Parties 
expect to include any newly agreed disciplines from GATS negotiations on Article VI.4 into the 
Agreement.  
4.5.2   Recognition  
4.49.   Article 11.8, which closely resembles the provisions of Article VII of the GATS, pertains to the 
recognition of service suppliers. Professional bodies of both Parties may negotiate agreements for 
the mutual recognition of education, experience, requirements, licenses, or certifications. Upon a 
 
37 Roman numerals in brackets after the service categories in banking services refer to the definitions of 
service categories as outlined in paragraph 5 of the GATS Annex on financial services.  
38 Mode 3 market access conditions and covered sectors include: nonbanking institutions seeking services 
related to the acceptance of deposits and other repayable funds (v), lending (vi), and financial le asing (vii) are 
unbound; banks are obligated to conduct activities exclusively through subsidiaries for services related to 
participation in issues of all kinds of securities (xi) and asset management (xiii); securities settlement and 
clearing services in the T.A. Stock Exchange are exclusively provided for Stock Exchange members seeking 
services related to settlement and clearing services (xiv) . 
39 Only licensed banking institutions can conduct these activities as authorized dealers.  
40 Freight transportatio n (transportation of containerized freight CPC 71233), transportation of furniture 
(CPC 71234), and freight transportation by man or animal drawn vehicle (CPC 71263).   
41 Maintenance and repair services of motor vehicles (CPC 6112), repair services of moto r vehicles, 
trailers and semi -trailers on a fee or contract basis (CPC 8867).  WT/REG 468/1 
 
- 32 - 
 
  written request, the receiving Party must forward it to its relevant professional body. Progress and 
impediments shall be reported periodically to the Joint Committee. Delays in negotiations shall not 
be considered a breach of obligations or subject to Chapter 12 (dispute settlement).  
4.5.3   Subsidies  
4.50.   There are no specific provisions on subsidies under Chapter 11 (trade in services); however,  
there are  some subsidy -related matters in the Chapter . For example, Colombia reserves the right to 
adopt or maintain any measure regarding t he granting of subsidies or support to domestic service 
providers for most of the services in its Schedule. Subsidies are excluded from Chapter 10 
(investment) (See Section 4.5.5.2  ).  
4.5.4   Safeguards  
4.51.   The Agreement does not contain a general safeguard provision in trade in services .  
4.5.5   Other  
4.5.5.1   Monopolies and exclusive service suppliers  
4.52.   Provisions on monopolies and exclusive service suppliers in Article 11.11 replicate those of 
Article VIII of the GATS.  
4.53.   Under Article 11.12, the Parties also recognise  that certain business practices of service 
suppliers, other than those under the provision s on monopolies and exclusive service suppliers may 
restrain competition and thereby restrict trade in services. Paragraph 2 of Article 11.12 mirror s the 
provisions  on business practices  in Article IX of the GATS, including with regards to consultations 
between the Parties.  
4.5.5.2   Investment  
4.54.   Chapter 10 governs specific provision on investment under the Agreement .42 It excludes public 
debt operations and certain claims to money arising from commercial contracts or credits 
(Article  10.1). The Chapter appl ies to inve stments made by investors of the home Party in the 
territory of the host Party, both existing at the time of the Agreement's entry into force and those 
made afterward. Article 10.3 provides for the promotion and protection of investments that each 
Party shall encourage and create favourable conditions for investments by investors of the other 
Party while ensuring that investments receive fair and equitable treatment, full protection, and 
security. The provision s of the Chapter shall not override bett er treatment given to investors or their 
investments under the host Party's laws or international obligations (Article 10.10).  
4.55.   Article 10.6 ensures the right of investors to transfer capital, returns, payments, and proceeds 
from the sale of investments. I t also outlines the terms and conditions for such transfers, including 
compliance with fiscal and financial obligations. Article 10.7 sets out rules for expropriation, 
emphasizing that investments should not be expropriated except for a public purpose and with 
prompt, adequate, and effective compensation. Home Party investors experiencing losses from war, 
armed conflict, or similar events in the host Party's territory must be compensated with no less 
favourable treatment than to the host Party's own investo rs or third-party investors, with freely 
transferable payments. Requisitio ned property or non -combat -related property destruction by the 
host Party, must be restituted or adequately compensated with freely transferable payments 
(Article  10.8) . Under s ubrog ation provisions  in Article 10.9 if the home Party or its designated 
Agency pays for an indemnity, guarantee, or insurance related to an investment in the host Party's 
territory, the host Party must recognize the home Party's right to take over the investo r's rights, 
claims, and obligations through subrogation. The home Party must receive payments in the same 
way as the original investor regarding the investment and its returns.  
 
42 "Investment" is  defined  broadly , including movable and immovable property, intellectual property 
rights, rights derived from stocks, shares, bonds, debentures, claims to money , goodwill and other assets, and 
business concessions.  WT/REG 468/1 
 
- 33 - 
 
  4.56.   Article 10.11 outlines exceptions that each Party can take for essential secur ity interests or 
measures in the financial sector for prudential reasons, provided they are in good faith and non -
discriminatory. The disciplines of the Chapter 10 regarding fair and equal treatment do not require 
one Party to grant to investors from the o ther Party the same tax or trade benefits provided in 
separate international agreements or tax legislation, or those that might be established in the future 
through customs unions, free trade agreements , or common markets.   
4.57.   If any inconsistencies arise from the provisions of Chapter 10 and other Chapters of the 
Agreement, the later shall prevail to the extent of the inconsistency ( Article 10.15). For investments 
made during the Agreement's validity, its rules will continue to apply for 10 years after the 
Agreement's termination, and general international law will apply afterward (Article 10.16).  
4.6  Sector specific provisions on trade in services  
4.6.1   Telecommunications43 
4.58.   Annex 11-D on telecommunications  builds upon the GATS and its Annex on 
Telecommunications  including the Reference paper of the WTO Negotiating Group on Basic 
Telecommunications of 24 April 1996  (hereafter WTO Reference paper) . It applies to measures 
affecting trade in telecommunication services under the framework of Chapter 11 (trade in services) 
but not to measures affecting broadcasting  or to cable distribution of radio or television programming  
services as defined by the laws and regulations of the Parties (Article 1).   
4.59.   Under Article 2, the disciplines on competitive safeguards mirror paragraph 1 of WTO 
Reference paper  with the  Parties agree ing to prevent major suppliers from engaging  in anti-
competitive practices. Also, as in paragraph 2 of the WTO Reference paper , the Parties will ensure 
that suppliers licensed for telecommunications services have interconnection rights, and 
interconnection rates shall be cost -based or regulated. Interconnection shall be negotiated between 
service suppliers  and the  competent authority of the Party shall be able to intervene in case of 
difficulties .  
4.60.   The Parties preserve their right to define their own universal service obligations, but in a 
transparent, objective, non -discriminatory, and not excessively burdensome manner (Article 4).  
4.61.   Provisions on licen sing procedure s, independent regulatory authority, and scare resources are 
also similar to those found in WTO Reference paper  and must be objective, transparent, and non -
discriminatory (Articles 6 and 7) . Each Party must ensure that suppliers have recourse  to a 
regulatory authority or other relevant body to resolve disputes, including those related to 
interconnection with major suppliers. Decisions can be appealed to an independent body or the 
courts (Article 8). The Parties must also  make information about  access to and use of public 
telecommunications transport networks and services publicly available, including details on tariffs, 
technical specifications, standards, and relevant requirements for equipment.  
4.6.2   Financial Services44 
4.62.   Annex 11 -C on trade in fina ncial services applies to all financial services between the Parties, 
through any mode of supply  as defined in the GATS . (Article 1) . The provisions in Annex 11 -C closely 
mirror the GATS Annex on Financial Services.  
4.63.   Each Party agrees to grant financial service s suppliers of the other Party established in its 
territory access to the use of payment and clearing systems operated by public entities and to official 
funding and refinancing facilities available in the normal course of ordinary business, provided that 
they accord national treatment45 (Article 2) .  
 
43 The Articles referred to in this section are from Annex 11-D unless otherwise specified.  
44 The Articles referred to in this section are from Annex 11-C unless otherwise specified.  
45 If a Party requires membership, participation, or access to any self -regulatory bodies, futures exchange 
or markets, clearing agencies, or any other organizations or associations for financial service suppliers from 
another Party to offer their services on an equal f ooting with domestic suppliers, or if the Party offers these WT/REG 468/1 
 
- 34 - 
 
  4.64.   The prudential carve -out in Article 3 reflects the GATS Annex on Financial Service s and permits 
the Parties to adopt or maintain measures for prudential reasons, which include protecting investors 
and ensuring financial system stability.  As in the Annex, a Party must provide the other Party with 
opportunities for negotiations  if it reco gnizes the prudential measures of a third party.  (Article 4) .  
4.65.   The Parties shall permit the transfer of information in electronic or other forms for data 
processing by financial service suppliers  while maintaining  measures to protect personal data and 
privacy and confidential information  (Article 5) .  
4.66.   Article 6 provides specific exceptions  for exclusive services as part of public retirement plans 
or social security systems, except if  domestic regulations allow competition with public entities or 
private ins titutions ; activities or measures related to monetary and credit policies by central banks 
or public entities ; the provision of  activities or services using the  Parties'  financial resources, as per 
domestic regulations ; and limits on transfers by financial  institutions or cross -border service 
providers to protect safety and soundness, as long as it is  fair and non -discriminatory. This provision 
however does not prejudice any other provision of the Agreement that permits a Party to restrict 
transfers.  
5  GENERAL PROVISIONS OF THE AGREEMENT  
5.1  Transparency  
5.1.  While there are no horizontal transparency provisions, the Agreement contains specific 
provisions on transparency in various Chapters that are discussed in the corresponding sections  of 
the factual presentat ions. The Agreement ensures the confidentiality of information in accordance 
with the regulations of the Parties and the protection of personal data and information.  Accordingly, 
the Parties are not obliged to provide or grant access to confidential inform ation if such disclosure 
would obstruct law enforcement, be against the public interest, harm the legitimate commercial 
interests of individuals or enterprises, whether public or private, including service providers as 
defined in Article 11.2 (Article 14.5).  
5.2  Current payments and capital movements  
5.2.  Except for restrictions to safeguard the balance of payments  (BOP) , a Party shall not apply any 
restrictions on international transfers and payments for current transactions related to its specific 
commitments (Ar ticle 11.13). Similarly, without prejudicing the rights to remedy BOP difficulties and 
address exchange rates or monetary policy issues, the Parties guarantee investors (under Chapter 
10 'Investment') of either Party the right to unrestricted transfer of t heir capital, returns, payments 
pursuant to foreign loans, payments arising from the settlement of a dispute under Article 10.12 
(investment disputes), and salaries and remunerations received by employees hired overseas in 
connection with an investment (Ar ticle 10.6). The Parties reaffirm their rights and obligations under 
the IMF Articles of Agreement, including the use of exchange actions.   
5.3  Exceptions  
5.3.1   General exceptions  
5.3.  Under Article 14.1, the Agreement incorporates, mutatis mutandis , the provision s of GATT 
Article  XX and GATS Article XIV, including its footnotes, on general exception s applicable to trade in 
goods , services  and investment .  
5.3.2   Security exceptions  
5.4.  The provision on security exceptions (Article 1 4.2) replicates most of Article XXI of GATT 1994, 
Article XIV bis of GATS, and Article 73 of the TRIPS Agreement.  
 
entities special privileges or advantages, the Party must ensure that national treatment is granted to service 
suppliers of the other Party resident in its territory  WT/REG 468/1 
 
- 35 - 
 
  5.3.3   Taxation  
5.5.  Article 14.3 addresses taxation measures. Except as set out in the Article, nothing in the 
Agreement appl ies to taxation measures.46 The Agreement does not prohibit the Parties from taking  
measures to ensure effective and equitable imposition of direct tax, distinguish between taxpayers 
based on various criteria, or prevent tax avoidance or evasion. The Parties preserve their rights and 
obligations under any tax conventions, with  the tax conventions taking precedence in case of 
inconsistency.  
5.3.4   Balance -of-payments safeguard s 
5.6.  Although the Parties endeavor to avoid the imposition of BOP restrictions under the Agreement, 
they may take safegua rd measures under the Agreement to remedy BOP difficulties arising from 
both trade in goods and services. For the application of such measures for trade in goods, provisions 
of understanding on the BOP provision of GATT 1994 have been adopted in the Agreement 
(Article  2.4). Similarly, for trade in services, the Parties reaffirm their rights and obligations under 
the GATS, for which they incorporate the provisions of paragraphs 1 to 3 of GATS Article XII into the 
Agreement, making them a part of Chapte r 11 (trade in services). If either Party adopts or maintains 
such restrictions, they shall promptly notify the Joint Committee (Article 11.14)  
5.3.5   Other exception s 
5.7.  The restriction on importing non -kosher meat into Israel is not deemed a violation of the 
Agree ment (Article 14.4)  
5.4  Accession and withdrawal  
5.8.  There are no provisions on accession to the Agreement. Through  written diplomatic note s, 
either Party may terminate the Agreement; termination takes effect on the first day of the six month s 
following the date o f such note (Article 15.4). 
5.5  Institutional framework  
5.9.  Chapter 13 (institutional provisions) establishes a Joint Committee which  is responsible for 
administering the Agreement, ensuring its proper implementation, and addressing various trade -
related matters. It can also initiate negotiations to deepen liberalization, recommend amendments 
to the Agreement, and modify specific rules. The Parties exchange information and hold consultations 
within the Joint Committee. Article 13.4 establishes various Sub -Committee s as discussed in other 
sections of the factual presentation and  working groups. The Free Trade Agreement Coordinators 
from each Party facilitate communication and follow up on Joint Committee decisions .47  
5.6  Dispute settlement  
5.10.   Except otherwise provided unde r any specific provision of the Agreement, Chapter 12  applies 
to any disputes arising from the interpretation, application, and fulfilment or non -fulfilment of the 
provisions of the Agreement  (Article 12.2) . It permits a Party to seek dispute settlement if it believes 
its expected benefits under the Agreement are impaired or nullified by the other Party's measures, 
even if not explicitly inconsistent with the Agreement. The Parties can also reach a mutually ag reed 
solution at any stage of the process, which will end upon notification to the Joint Committee 
(Article  12.3).  
5.11.   Article 12.7 provides the Parties with a choice of forum between the Agreement and other 
international trade agreements to which they are pa rty, including the WTO Agreements. Once 
dispute settlement procedures are initiated under either forum, the chosen forum is to be used to 
 
46 Article 2.3 (National Treat ment) applies to taxation measures in a manner similar to Article III of the 
GATT 1994 and its Interpretative Notes, and Article 2.11 (Customs Duties on Exports) also applies to taxation 
measures.  
47 The Parties confirm that meetings of any committees are y et to be convened; however, the first 
meeting of the Joint Committee (JC) and its Subcommittees is scheduled to take place at the beginning of 
2024.  WT/REG 468/1 
 
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  the exclusion of the other.  Figure 5.1 below summarizes the main steps of the dispute settlement 
mechanism under the A greement.  
Figure 5. 1 Dispute S ettlement Mechanism under the Agreement  
Source:  WTO Secretariat based on the Agreement.  
 
5.12.   The Parties shall endeavour to resolve any dispute under the Agreement through consultations 
following the procedure described in Article 12.4. Conciliation and mediation are provided as per 
Article 12.5 and 12.6, respectively. If consultations fail to resolve the dispute, following a request to 
establish an arbitral tribunal by the complaining Party (Article 12.10), an arbitral tribunal consistin g 
of three arbitrators shall be established as per Article 12.11. The y shall issue an award within 90 
days (or 120 days if the y deem  it necessary) .48 The award shall be final and binding on the Parties 
and shall be made publicly available within 10 days af ter issuance, subject to the protection of 
confidential information (Article 12.13).  
5.13.   Within 30 days of the award, the responding Party must notify the complaining Party of its 
plan and timeframe for compliance. If there is  disagreement about  the time requ ired for compliance, 
the original arbitral tribunal can decide on the timeframe within 40 days of a request to do so. Before 
the agreed deadline, the responding Party must also report progress on implementing measures to 
comply. If the responding Party considers it  impracticab le to comply with the award, temporary 
compensation shall be agreed, or, if no agreement on compensation is reached after 15 days from 
the date of notification, it must comply with the award (Article 12.15).  
5.14.   If the responding Party doe s not comply with the award or agreed compensation, the 
complaining Party can suspend certain benefits under the Agreement upon notification to  the 
responding Party and the Joint Committee of its intended suspension. The suspension is intended to 
encourage  compliance and is temporary  and shall end  when the issue is resolved, or the Parties 
reach an agreement on compliance  (Article 12.16) . If there  is disagreement between the Parties on 
compliance or the proposed suspension of benefits, they can take the mat ter to the original arbitral 
tribunal for resolution. The tribunal must issue its award within 30 days for issues related to 
compliance or suspension, and within 50 days if it involves both (Article 12.17).  
5.15.   Article 10.12 lays out the procedures for settli ng investment related disputes between 
investors from one Party with the other Party. Initially, non -judicial local administrative remedies 
must be pursued if required by the Party's laws, and if not resolved within six months, the investor 
can proceed to arbitration. Investment disputes are first addressed through consultations and 
negotiations, and if not settled within six months, upon request of the investor it will be settled by 
a competent court of the host Party, conciliation, or arbitration through international bodies like the 
International Centre for the Settlement of international Disputes (ICSID), or the United Nations 
Commission on International Trade Law (UNCITRAL), depending on the circumstances. Disputes 
 
48 For disputes involving perishable or seasonal goods, the Arbitral Tribunal shall make every effort to 
issue its award within 45 days (or 75 days in special circumstances).  
Qualification and code of conduct for Arbitrators  
(Art. 12.9 and Annex 12-B) 
Review of c ompliance and suspension of 
benefits (Art 12.17) 
Consultations (Art. 12.4) 
Request for and establishment of 
an Arbitral Tribunal (Art. 12.10) 
Arbitral Tribunal  Procedures  
(Art. 12.13 and Annex 12-A) 
Arbitral Tribunal Award  (Art. 12.13) 
Implementation of the Award  
And Compensation  
(Art. 1 2.15) 
Conciliation  and mediation (Art. 12.5 and 12.6 ) WT/REG 468/1 
 
- 37 - 
 
  must be submitted within three years o f when an investor knew or should have known about the 
violation. The award is final and binding, and costs may be awarded against the claimant if the claim 
lacks legal merit.  
5.7  Relationship with other agreements concluded by the Parties  
5.16.   The Parties reaffirm their rights and obligations  towards each o ther under the WTO Agreement 
and other agreements to which they are party  (Article 1.2) .  
5.17.   Table 5.1 below shows the Parties' RTAs, notified and non -notified, other than the Agreement.  
Table 5.1 Colombia  and Israel: Participation in other RTAs (notified and non -notified in 
force), as of 11 January 2024  
RTA Name  Entry into 
forcea Coverageb GATT/WTO Notification  
Year WTO Provision  
COLOMBIA  
United Kingdom - Colombia, Ecuador 
and Peru  01-Jan-21 G & S  2020 GATT Art. XXIV & GATS Art. V  
MERCOSUR - Colombia [AAP.CE 72]  20-Dec-17 G 2022 Enabling Clause (Changes)C 
EU - Colombia and Peru - Accession of 
Ecuador  01-Jan-17 G & S  2017 GATT Art. XXIV & GATS Art. V  
Costa Rica - Colombia  01-Aug-16 G & S  2016 GATT Art. XXIV & GATS Art. V  
Korea, Republic of - Colombia  15-Jul-16 G & S  2016 GATT Art. XXIV & GATS Art. V  
Pacific Alliance  01-May-16 
(Trade 
Protocol)  G & S  2016 GATT Art. XXIV & GATS Art. V  
EU - Colombia, Ecuador and Peru  01-Mar-13 G & S  2013 GATT Art. XXIV & GATS Art. V  
Colombia - Bolivarian Republic of 
Venezuela [AAP.C 28]  19-Oct-12 G 2020 Enabling Clause (Changes) C 
United States - Colombia  15-May-12 G & S  2012 GATT Art. XXIV & GATS Art. V  
Canada - Colombia  15-Aug-11 G & S  2011 GATT Art. XXIV & GATS Art. V  
EFTA - Colombia  01-Jul-11 G & S  2011 GATT Art. XXIV & GATS Art. V  
Colombia - Northern Triangle (El 
Salvador, Guatemala, Honduras)  12-Nov-09 G & S  2012 GATT Art. XXIV & GATS Art. V  
Chile - Colombia  08-May-09 G & S  2009 GATT Art. XXIV, Enabling 
Clause & GATS Art. V  
MERCOSUR - Andean Community 
(except Plurinational State of Bolivia 
and Peru) [AAP.CE 59]  05-Jan-05 G 2020 Enabling Clause (Changes) C 
Colombia - Cuba [AAP.CE 49]  14-Jul-01 G 2020 Enabling Clause (Changes) C 
Latin American Integration Association 
(LAIA) - Accession of Cuba  26-Aug-99 G 1999 Enabling Clause  
CARICOM - Colombia [AAP.A25TM 31]  01-Jan-95 G 2020 Enabling Clause (Changes) C 
Colombia - Panama [AAP.A25TM 29]  01-Jan-95 G 2020 Enabling Clause (Changes) C 
Colombia - Mexico  01-Jan-95 G & S  2010 GATT Art. XXIV, Enabling 
Clause & GATS Art. V  
LAIA - Seeds [AAP.AG 2]  18-Jun-93 G 2020 Enabling Clause (Changes) C 
Global System of Trade Preferences 
among Developing Countries (GSTP)  19-Apr-89 G 1989 Enabling Clause  
LAIA - Cultural Goods [AAR.CEYC 7]  01-Jan-89 G 2020 Enabling Clause (Changes) C 
Andean Community (CAN)  25-May-88 G 1990 Enabling Clause  
Colombia - Nicaragua [AAP.A25TM 6]  02-Sep-85 G 2020 Enabling Clause (Changes) C 
LAIA- Preferences in favour of 
Paraguay [AAR.AM 3]  01-Jul-84 G 2020 Enabling Clause (Changes) C 
LAIA – Agreement on Regional Tariff 
Preference [AAR.PAR 4]  01-Jul-84 G 2020 Enabling Clause (Changes) C 
LAIA - Preferences in favour of Ecuador 
[AAR.AM 2]  01-May-83 G 2020 Enabling Clause (Changes) C 
LAIA - Preferences in favour of the 
Plurinational State of Bolivia  [AAR.AM  
1] 01-May-83 G 2020 Enabling Clause (Changes) C 
Latin American Integration Association 
(LAIA)  18-Mar-81 G 1982 Enabling Clause  
LAIA - Accession of Panama  03-May-12 G Not notified  
Andean Community  14-Dec-06 S Not notified  WT/REG 468/1 
 
- 38 - 
 
  RTA Name  Entry into 
forcea Coverageb GATT/WTO Notification  
Year WTO Provision  
ISRAEL  
United Kingdom - Israel  01-Jan-21 G 2020 GATT Art. XXIV  
Ukraine - Israel  01-Jan-21 G 2021 GATT Art. XXIV  
Southern Common Market 
(MERCOSUR) - Israel  23-Dec-09 G 2019 GATT Art. XXIV  
Israel - Mexico  01-Jul-00 G 2001 GATT Art. XXIV  
EU - Israel  01-Jun-00 G 2000 GATT Art. XXIV  
Türkiye - Israel  01-May-97 G 1998 GATT Art. XXIV  
Canada - Israel  01-Jan-97 G 1997 GATT Art. XXIV  
EFTA - Israel  01-Jan-93 G 1992 GATT Art. XXIV  
United States - Israel  19-Aug-85 G 1985 GATT Art. XXIV  
Protocol on Trade Negotiations (PTN)  11-Feb-73 G 1971 Enabling Clause  
United Arab Emirates – Israel  01-Apr-23 G&S Not notified  
Korea, Republic of - Israel  01-Dec-22 G Not notified  
Jordan - Israel  19-Apr-96 G Not notified  
Panama - Israel  01-Jan-20 G & S  Not notified  
a Dates of the first entry into force/provisional application for at least one of the Parties.  
b G stands for trade in goods and S for trade in services.  
c Agreement notified as a change to the LAIA's  1980 Treaty of Montevideo; the LAIA reference is 
indicated in brackets. Further details can be found at: http://www.aladi.org . 
Source:  WTO Secretariat. Further information on these Agr eements and on specific dates of entry into 
force/provisional applications may be found in the WTO Database on RTAs: http://rtais.wto.org . 
 
5.8  Government procurement  
5.18.   Chapter 9 of the Agreem ent applies to government procurement of goods or services specified 
in Annex 9 -A that exceed the threshold  values  therein, as also presented in Table 5. 2 below. 
Threshold  values  are similar for both Parties, except that Israel's thresholds for constructio n services 
for sub-central and other entities are higher than those of Colombia. Israel is a party to the WTO 
Government Procurement Agreement (GPA), and its threshold  value s in the Agreement and in the 
GPA are the same49, while Colombia is an observer to the GPA .50  
Table 5.2 Colombia and Israel: Values of thresholds for government procurement under 
the Agreement  
Level of 
entities  Colombia (in SD R million)  Israel (in SD R million)  
Goods  Services  Construction  Goods  Services  Construction  
Central  0.13 0.13 8.5 0.13 0.13 8.5 
Sub-central  0.25 0.25 5.0 0.25 0.25 8.5 
Other entities  0.355  0.355  5.0 0.355  0.355  8.5 
Source:  Annex  9-A of the Agreement . 
 
49 While the entities listed at the sub -central government level remain the same, four central government 
entities and ten other entities listed in the WTO GPA commitments are considered to be added to the Agreement 
at the time when the results of the renegotiation of the GPA enter into force for Israel. Under the same provision, 
an additional central government entity, the 'Small and Medium Business Agency,' which was not included in the 
WTO GPA, will be added to the Agreement.  However, Israel confirms that the lists of entities under the Agreement 
are, in essence, identical to the revised GPA 2012. The 'Small and Medium Business Agency' is part of the Ministry 
of Economy and, therefore, i s included in Israel's commitments in the revised GPA .  
50 Israel has been  a party to the GPA-1994 since 1 January 1996, and acceded to the GPA-2012 on 6 
April 2014, and Colombia has been an  observer since 27 February 1996.  WT/REG 468/1 
 
- 39 - 
 
  5.19.   The provisions of Chapter 9 closely resemble those of the WTO -GPA 2012 .51 The Parties 
commit to promoting the involvement of micro, small, and medium enterprises (MSMEs) in tendering 
procedures by encouraging information exchange, fostering business alliances, and supporting joint 
participat ion (Article 9.19). Additionally, they agree to cooperate in enhancing their understanding 
of each other's government procurement systems and improving market access, particularly for 
MSMEs. The scope of cooperation includes exchanging information, develop ing electronic 
communications, offering capacity assistance to suppliers, and strengthening government 
institutions (Article 9.20).  
5.20.   A Sub -Committee on government procurement, as outlined in Article 9.21, is established to 
assess implementation of Chapter 9 , coordinate cooperation efforts, and explore expanding coverage 
of the Chapter through negotiations. Should a Party offer additional benefits to a third party in the 
future, it is obliged to engage in negotiations, upon request, with the other Party with the aim to 
reciprocally extend  these advantages under Chapter 9 (Article 9.22). The Parties confirm that the 
provisions of Chapter 12 (dispute settlement) apply to Chapter 9.  
5.9  Intellectual property rights  (IPRs)  
5.21.   The Agreement does not contain any provision s as such on IPRs, however there is reference 
to the rights and obligation of the Parties under WTO TRIPs Agreement. For example, in Chapter 10 
(investment) under Article 10.7 (expropriation), a host Party may permit the use of an intellectual 
property right, provided the permission is in conformity with the TRIPS Agreement.  
5.10  Competition  
5.22.   The Agreement does not contain specific provisions on competition.  
5.11  Environment  
5.23.   The Agreement  does not contain specific provisions on the e nvironment . However, in the  
preamble, the Parties agree to enforce the Agreement in a manner aligned with environmental 
protection and conservation, the advancement of sustainable development, and a shared 
commitment to enhance cooperation on environmental issues. They also committed not to relax 
their respective domestic environmental legislations to promote investment (Article 10.14) and to 
cooperate on environment al technology Article (5.2).   
5.12  Labour  
5.24.   The Agreement does not contain general provisions on labour  except under mode 4 of trade 
in services (Chapter 11).  
5.13  Electronic commerce52 
5.25.   Annex B of the Agreement contains provisions on electronic commerce aimed at fostering 
cooperation and dialogue between the Parties on issues related to electronic commerce. The Parties  
agree that deliver y by electronic means shall be treated as the provision of services, as per Chapter 
11 (trade in services), and shall not be subject to customs duties (Article 1).  
5.26.   Recognizing its potential to enhance trade, the Parties commit to ensurin g that the 
administration and development of electronic commerce align with their respective laws and 
international data protection standards. They also agree to maintain a dialogue on regulatory 
aspects, such as the recognition of certificates of electron ic signatures, intermediary service provider 
liability, treatment of unsolicited communications, consumer protection, and the promotion of 
paperless trading (Article 2). Additionally, Article 3 ensures the Parties' rights on the protection of 
 
51 Articles 9.1 -9.18 cover defini tions, scope, security and general exceptions, general principles, 
information on the procurement system, publication of notices, conditions for participation, registration and 
qualification of suppliers, time limits, information on intended procurements, negotiation, limited tendering, 
electronic auctions, treatment of tenders and awarding of contracts, disclosure of information, post -award 
information, and domestic review procedures.  
52 All the articles referred to in this section are from Annex B of the A greement . WT/REG 468/1 
 
- 40 - 
 
  personal data , while consumer protection is addressed under Article 5. The Parties also endeavour 
to make foreign trade administration documents available electronically  and accept them as 
equivalent to paper copies  (Article 4). 
5.14  Small and medium -sized enterprises  (SMEs ) 
5.27.   There are provisions in different Chapters aim ing to promote and support SMEs . For example, 
under Chapter 5 (Technical Assistance and Trade Capacity), the Parties agree to cooperate to foster 
and develop SMEs, supporting the role of the private sector with an emphasis on SMEs  (see 
Section  5.15.1  ). Similarly, Chapter 9 (Government Procurement) places emphasis on facilitating 
SME involvement  in procurement  (see Section 5.8 ).  
5.15  Other  
5.15.1   Cooperation  
5.28.   Chapter 5 of the Agreement aims to foster cooperation in technical assistance and trade 
capacity building between the Parties to optimize the implementation of and benefits from the 
Agreement. The y complement provisions  in other Chapters of the Agreement. The Parties agree to 
prioritize cooperation initiatives that focus on enhancing trade capacity, creating opportunities for 
trade and investment, fostering competitiveness and innovation, promoting the development of 
SMEs, and supporting the role of the private sector (with an emphasis on SMEs), aiming to build 
strategic alliances that contribute to mutual economic growth and deve lopment. Article 5.2 covers 
cooperation in various areas, such as  agricultural technology, telecommunications, public health, 
innovation, biotechnology, and environmental technology. The Parties may use different instruments 
and modalities for cooperation,  such as exchanging information, experience, best practices, capacity 
building, and technical assistance, as well as triangular cooperation for the joint identification, 
development, and implementation of projects. Cooperation must be led by the designated contact 
points53 as per Article 5.3. The activities undertaken under Chapter 5 shall not affect other 
cooperation initiatives based on other bilateral instruments between the Parties.  
 
53 The designated contact point in Colombia is the Chief of the Sectorial Planning Advisory Office at the 
Ministry of Trade, Industry, and Tourism, while for Israel, it is the Ministry of Economy's Foreign Trade 
Administration.  WT/REG 468/1 
 
- 41 - 
 
  - 41 - 
 
 
 
- 41 - ANNEX 1  
INDICATORS OF TARIFF LIBERALIZATION AND MARKET ACCESS  
OPPORTUNITIES UNDER THE AGREEMENT  
1. Tables A1.1 and A1.2 present the Parties' overall tariff elimination under the Agreement 
vis-à-vis MFN tariffs by total, agricultural ( HS Chapters 01 -24) and industrial ( HS Chapters 25 -97) 
products.  
2. As shown in Table A1.1, Colombia's overall average applied MFN tariff in 2020 was 6%, 4% 
for industrial products, and higher at 16.2% for agricultural products. The share of duty -free tariff 
lines was 53.6% overall, 64.4% for industrial and 1.5% for agricultural products. Upon entry into 
force of the Agreement in 2020, the overall applied tariff for imports from Israel decreased to 4.8%, 
and 2.7% and 14.7%, respectively, for industrial and agricultural products. This provided exporters 
from Israel  with a relative margin of preference of 20% overall and 32.5% for industrial and 9.3% 
for agricultural products. The share of duty -free lines increased to 64.4% overall and 75% and 13%, 
respectively, for industrial and agricultural products. At the end of  the duty elimination period in 
2031, the share  will further increase to 85.4% overall,  and 99.8%1 and 15.4% for industrial and 
agricultural products, respectively . 
Table A1. 1 Colombia : Indicators of MFN and preferential rates for imports from Israel  
Origin of 
goods  Year ALL PRODUCTS  HS Chapters 01 -24 HS Chapters 25 -97 
Average 
tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average 
tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average 
tariff  
Share of 
duty-free 
tariff lines 
(%) Overall (%)  
On dutiable 
(%) 
Overall (%)  
On dutiable 
(%) 
Overall (%)  
On dutiable 
(%) 
MFN 2020 6.0 13.0 53.6 16.2 16.5 1.5 4.0 11.1 64.4 
Israel  2020 4.8 13.5 64.4 14.7 17.0 13.0 2.7 11.0 75.0 
 2021 4.4 12.2 64.4 14.7 16.9 13.0 2.2 8.9 75.0 
 2022 3.9 11.1 64.7 14.6 16.8 13.1 1.7 6.9 75.3 
 2023 3.5 9.8 64.7 14.5 16.7 13.1 1.2 4.9 75.3 
 2024 3.0 11.6 73.7 14.5 16.9 14.5 0.7 4.9 85.9 
 2025 2.8 10.7 73.7 14.4 16.9 14.5 0.4 2.9 85.9 
 2026 2.6 15.3 83.2 14.4 16.8 14.5 0.1 5.2 97.3 
 2027 2.5 15.1 83.2 14.3 16.8 14.5 0.1 3.7 97.3 
 2028 2.5 14.8 83.2 14.3 16.7 14.5 0.1 2.1 97.3 
 2029 2.4 16.8 85.4 14.3 16.9 15.3 0.0 9.3 99.8 
 2030 2.4 16.8 85.4 14.3 16.8 15.3 0.0 9.1 99.8 
 2031 2.4 16.9 85.4 14.3 17.0 15.4 0.0 10.0 99.8 
Note:  The tariff liberalization period for duty elimination is until 2031. However, there are eight tariff lines 
that are part of the Andean Price Band (APB) system, and the ad valorem  part of the duties for these 
tariff lines will be eliminated in 5 years from year 15 (2031), while the variable component of the APB 
System for these lines will still be maintained.  
Source:  WTO's estimate based on the data provided by the Colombian autho rities.  
 
3. In the case of Israel (Table A1.2) , its overall average applied MFN tariff in 2020 was 6.5%, 
and 2.7% for industrial and relatively higher at 25.7 % for agricultural products. The share of duty -
free tariff lines was 66.9% overall, 71.1% for industrial and 46.8% for agricultural products. Upon 
entry into force of the Agreement in 2020, the overall applied tariff for imports from Colombia  
decreased to 4.2%, and 0.1% and 24.5%, respectively, for industrial and agricultural products. This 
gave exporters from Colombia a relative margin of preference of 35.4% overall and 96.3% and 4.7% 
for industrial and agricultural products, respectively . The share of duty -free lines rose to 89.7% 
 
1 Products from HS Chapters 25 -97 are considered industrial products in the table. However, according 
to the classification of agricultural and industrial goods under the Agreement, duties for all industrial products 
will be eliminated by the end of the tariff elimination period.  WT/REG 468/1 
 
- 42 - 
 
  - 42 - overall , and 98.4% and 48.6% respectively for industrial and agricultural products. At the end of 
implementation in 2024, it will further increase to 90.9% overall, and 99.9% and  48.7% for industrial 
and agricultu ral products , respectively .  
Table A1. 2 Israel : Indicators of MFN and preferential rates for imports from Colombia  
Origin of 
goods  Year ALL PRODUCTS  HS Chapters 01 -24 HS Chapters 25 -97 
Average 
tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average 
tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average 
tariff  
Share of 
duty-free 
tariff 
lines (%)  Overall (%)  
On dutiable 
(%) 
Overall (%)  
On dutiable 
(%) 
Overall (%)  
On dutiable 
(%) 
MFN 2020 6.5 20.2 66.9 25.7 50.6 46.8 2.7 9.4 71.1 
Colombia  2020 4.2 44.3 89.7 24.5 50.1 48.6 0.1 8.0 98.4 
 2021 4.2 43.9 89.7 24.4 50.1 48.6 0.1 4.9 98.4 
 2022 4.1 48.9 90.8 24.4 50.2 48.7 0.0 9.4 99.7 
 2023 4.1 48.9 90.8 24.4 50.2 48.7 0.0 7.9 99.7 
 2024 4.1 49.9 90.9 24.4 50.2 48.7 0.0 20.0 99.9 
Source:  WTO's estimate based on the data provided by the Israel i authorities  and the WTO -IDB database . 
 
4. Table A1.3 shows market access opportunities for Israel's top 25 export products (at the 
HS subheading level) in the Colombian market, which account ed for 55.7% of its global exports in 
2017-19. These HS subheadings were covered by 81 tariff line s in 2020, of which 6 1 lines were 
already duty -free on an MFN basis. Upon entry into force of the Agre ement in 2020, 11 lines were 
liberalized for imports from Israel . One additional line was liberalized in 2022, and all other lines will 
be liberalized in 2024 (6 lines), 2026 (1 line), and 2029 (1 line).  
Table A1.3 Colombia : Market access opportunities und er the Agreement for Israel 's top 
25 exports to the world  
Israel's top export products  
in 2017 - 2019  Access Conditions to Colombia's import markets  
HS number and description of the 
product  
Share in global 
exports (%)  MFN 2020  Duty -free lines under 
the Agreement  
Remaining 
dutiable  Avg. MFN 
applied 
tariff (%)  Number 
of lines  duty-
free  
duti-
able 
2020  
2022  
2024  
2026  
2029  
710239  Diamonds  18.7 0.0 1        
300490  Medicaments  5.4 7.9  7 6 1     
854231  Electronic integrated circuits  3.7 0.0 1        
710231  Non-industrial diamonds  3.5 0.0 1        
880330  Parts of aeroplanes or helicopters  3.2 0.0 1        
300390  Medicaments  2.8 5.0  2 2      
293359  Heterocyclic compounds  1.9 0.0 7        
901890  Instruments and appliances used in 
medical, surgical or veterinary 
sciences  1.6 2.5 1 1 1      
310590  Mineral or chemical fertilisers  1.5 0.0 3        
851762  Machines for the reception, 
conversion and transmission  1.4 0.0 3        
820900  Plates, sticks, tips and the like for 
tools 1.3 0.0 2        
854370  Electrical machines and apparatus  1.2 0.0 4        
380893  Herbicides  1.2 0.0 5        WT/REG 468/1 
 
- 43 - 
 
  - 43 - 
 
 
 
- 43 - Israel's top export products  
in 2017 - 2019  Access Conditions to Colombia's import markets  
HS number and description of the 
product  
Share in global 
exports (%)  MFN 2020  Duty -free lines under 
the Agreement  
Remaining 
dutiable  Avg. MFN 
applied 
tariff (%)  Number 
of lines  duty-
free  
duti-
able 
2020  
2022  
2024  
2026  
2029  
271020  Petroleum oils  1.1 0.0 1        
851770  Parts of telephone sets, telephones 
for cellular networks or for other 
wireless networks  1.0 0.0 1        
903149  Optical instruments, appliances and 
machines for measuring or 
checking  0.8 0.0 3        
271019  Medium oils and preparations  0.7 0.3 16 1 1      
392690  Articles of plastics and articles of 
other materials of heading 3901 to 
3914  0.7 10.0 1 8 1  5 1 1  
844319  Printing machinery  0.7 0.0 2        
901819  Electro -diagnostic apparatus  0.6 0.0 1        
880390  Parts of aircraft and spacecraft  0.6 0.0 1        
854239  Electronic integrated circuits  0.6 0.0 1        
842482  Agricultural or horticultural 
mechanical appliances  0.5 1.3 3 1   1    
844391  Parts and accessories of printing 
machinery  0.5 0.0 1        
903082  Instruments and apparatus for 
measuring or checking 
semiconductor wafers or devices  0.5 0.0 1        
 Total of above  55.7  61 20 11 1 6 1 1 - 
Source:  WTO's estimate based on the data provided by the Colombian authorities and UNSD -Comtrade 
database.  
5. Similarly, Table A1.4 below shows market access opportunities for Colombia's top 25 export 
products (at the HS Subheading level) in Israel, which account ed for 79% of its global exports in 
2017-19. These 25 HS subheadings were covered by 54 tariff  lines in 2020, of which 39 tariff lines 
were already duty -free on an MFN basis. Duties on imports from Colombia for eight of the remaining 
15 dutiable lines were e liminated upon the entry into force of the Agreement in 2020 . The 7 tariff 
lines remain ing dutiable  relate to motor vehicles, cut flowers, fungicides and doors, MFN applied 
tariffs on which ranged from 4 -10% in 2020 . 
Table A1.4 Israel : Market access opport unities under the Agreement for Colombia 's top 
25 exports to the world  
Colombia's top export products  
in 2017 -2019  Access Conditions to Israel's import 
markets  
HS number and description of the product  
Share in global 
exports (%)  MFN 2020  
Duty -free lines 
under the 
Agreement  
2020  
Remain 
dutiable  Avg. MFN 
applied 
rate (%)  Number 
of lines  duty
-free  
duti-
able 
270900  Petroleum oils and oils obtained from 
bituminous minerals, crude  31.6 0.0 2    
270112  Bituminous coal  15.3 0.0 1    
090111  Coffee  5.9 0.0 1    
271019  Medium oils and preparations  4.2 0.0 13    
710812  Gold  3.8 0.0 1    WT/REG 468/1 
 
- 44 - 
 
  - 44 - Colombia's top export products  
in 2017 -2019  Access Conditions to Israel's import 
markets  
HS number and description of the product  
Share in global 
exports (%)  MFN 2020  
Duty -free lines 
under the 
Agreement  
2020  
Remain 
dutiable  Avg. MFN 
applied 
rate (%)  Number 
of lines  duty
-free  
duti-
able 
271012  Light oils and preparations  2.5 0.0 4    
080390  Fresh or dried bananas  2.1 72.0  2  2 
270400  Coke and semi -coke of coal  1.9 0.0 1    
060319  Fresh cut flowers and buds  1.8 10.0  2 1 1 
720260  Ferro-nickel  1.2 0.0 1    
151110  Crude palm oil  0.8 0.0 1    
060311  Fresh cut roses and buds  0.8 10.0  1  1 
870323  Motor cars  0.8 4.4 3 5 5  
390410  Poly"vinyl chloride"  0.7 0.0 1    
390210  Polypropylene  0.7 0.0 1    
210111  Extracts, essences and concentrates, of coffee  0.6 0.0 1    
060312  Fresh cut carnations and buds   0.6 10.0  1  1 
170199  Cane or beet sugar and chemically pure sucrose  0.6 0.0 2    
740400  Waste and scrap, of copper  0.5 0.0 1    
300490  Medicaments  0.5 0.0 1    
380892  Fungicides  0.4 4.0 2 1 1  
761010  Doors  0.4 10.0  1 1  
170490  Sugar confectionery  0.4 2.0 1 1  1 
060314  Fresh cut chrysanthemums and buds  0.4 10.0  1  1 
390230  Propylene copolymers  0.4 0.0 1    
 Total of above  79.0  39 15 8 7 
Source:  WTO estimates based on the data provided by Israel authorities , WTO -IDB and UNSD -Comtrade 
database.  
  WT/REG 468/1 
 
- 45 - 
 
  - 45 - 
 
 
 
- 45 - ANNEX 2  
1. Table s A2.1 and A2.2 provide detailed information on TRQs applied by the Parties under the 
Agreement.  
Table A2. 1 Colombia: TRQs under the Agreement  
HS codes  Under the Agreement  MFN 2020 rates  
(Out -of-quota rates)  In-quota rates  Quantity  (tonnes)  
0603110000  0% 500  5% 
0603191000, 0603192000  0% Aggregate quota of 250  5% 
0603193000, 0603194000  0% Aggregate quota of 250  5% 
0603199010, 0603199090  0% Aggregate quota of 250  5% 
0910999000  0% 200 10% 
1702301000 *,  
1702302000 *, 1702309000 * 0% Aggregate quota of 100  5% 
20% + APB 
1901101000, 1901109100, 
1901109900  0% Aggregate quota of 100  15% 
1902300000  0% 100  15% 
1905320000, 1905400000  0% Aggregate quota of 500  15% 
2007991100, 2007991200, 
2007999100, 2007999200  0% Aggregate quota of 300  15% 
2105001000, 2105009000  0% Aggregate quota of 150  15% 
2103902000, 2103909000  0% Aggregate quota of 200  15% 
* Products subject to WTO TRQs.  
APB:  Andean Price Band System  
Sourced:  Based on data provided by Colombian authorities.  
Table A2. 2 Israel: TRQs under the Agreement   
HS codes  Under the Agreement  MFN 2020 rates  
(Out -of-quota rates)  In-quota rates  Quantity  (tonnes)  
02011000, 02012000, 02013000  0% Aggregate quota of 500  12% + 6.50 NIS /kg  
04021020 *  0% 100 162%  
04022120 *  0% 100 212%  
0404109000, 0404900000  0% Aggregate quota of 100  40% 
0406902000 * 
0406903000 * 
0406909000 * 0% Aggregate quota  of 300  8.25 NIS /kg 
3.99 NIS /kg 
7.95 NIS /kg 
06031100  0% 500 10% 
06031200  0% 250 10% 
06031400  0% 250 10% 
06031990  0% 250 10% 
0703109100, 0703109900  0% Aggregate quota  of 100  0.75 NIS /kg bu t no more than 
298%  
0803109000, 0803909000  0% Aggregate quota  of 100  8% 
08043010  0% 500 4.41 NIS /kg but no more than 
25% 
08045020  0% 300 1.23 NIS /kg but no more than 
85% 
08071100  0% 100 0.43 NIS /kg but no more than 
102%  
08072000  0% 100 2.43 NIS /kg but no more than 
85% WT/REG 468/1 
 
- 46 - 
 
  - 46 - * Products subject to WTO TRQs.  
Source:  Based on data provided by the Israeli authorities . 
________